Pathways To Educational Financing in The Nigeria Context BY Akpam, Gabriel Odey
Pathways To Educational Financing in The Nigeria Context BY Akpam, Gabriel Odey
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Volume 3 Issue 1, 2024
BY
gabrielsuccess20@gamil.com
mbonusen@yahoo.com
&
unimike2050@gamil.com
UNIVERSITY OF CALABAR
CALABAR
ABSTRACT
The research examine pathways to educational financing in Nigerian context and drew out
various ways with which education can be finance outside government funding, which include,
private contribution, corporate social responsibility, alumni association, students loan scheme
and Non-governmental organizations (NGOs). The challenges of funding education in Nigeria
and it was concluded by saying that education should not be left in the hands of government
alone, rather all stakeholders in education should jointly contribute in funding education in
Nigeria.
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individuals and organizations are exercising government alone, rather all stakeholders in
their constitutional rights in the education should get involve, it is against
establishment of schools. While the this background that this paper seek to
enrolment into various schools has rapidly determine pathways to educational
increased, the volume of funds provided financing in Nigerian context.
has not expanded to meet the enrolment
Pathways to Educational Financing in
demands. The result is an acute shortage of
the Nigerian Context
staff, funds, physical facilities and
equipment. Other indicators for declining Pathways to educational financing
quality in education are high drop-out rate, refer to the various ways in which
hooliganism, drug abuse, sexual harassment funding for their education. It also refers to
and general lawlessness. The fact that the the various avenues or routes that
various governments of the federation individuals can secure funding for their
that the institutions must look for other options and strategies available for
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becoming increasingly popular due to a education sector, policies such as, tax
variety of reasons. Private funding of breaks and other incentives. Private funding
education refers to the use of private of education in Nigeria has its advantages
resources, such as personal savings, loans, and disadvantages. On the one hand, it
or donations from individuals or helps to improve the quality of education
organizations, to finance education. by providing better facilities, more
qualified teachers, and access to modern
One of the main reasons for the rise
technology. On the other hand, it widens
in private funding of education in Nigeria is
the gap between the rich and the poor, as
the inadequate funding of public schools by
only those who can afford to pay the high
the government. This has resulted in poor
fees can attend private schools.
infrastructure, low teacher salaries, and
inadequate educational materials in public CORPORATE SOCIAL
schools, which has led to a decline in the RESPONSIBILITY
quality of education. As a result, many
Corporate social responsibility,
parents and guardians have turned to
Companies can provide funding for
private schools as a better alternative.
education through their corporate social
Private schools in Nigeria are often better
responsibility initiatives. This can involve
equipped and offer better quality education,
funding scholarships, building schools, or
but they are also more expensive than
providing educational resources to students
public schools. The cost of private schools
and schools. for example, some banks,
varies widely depending on the location and
telecommunication giant, oil companies,
quality of the school. Private schools are
and multinational corporations provide such
generally attended by children from
funding for education.
wealthier families who can afford the fees.
According to Pooja (2017)
In addition, Ogunode (2019)
corporate social responsibility (CSR) is a
asserted that government's policy of
concept whereby companies integrate social
encouraging private sector investment in
and environmental concerns into their
education has also contributed to the
business operations and interactions with
increase in private funding of education in
stakeholders. One way in which CSR can
Nigeria. The government has implemented
be used to fund education in Nigeria is
policies to attract private investors into the
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Nations Educational and Scientific and politically and economically. That is why at
Cultural Organization, UNESCO’s graduation ceremonies one hears the Vice-
recommendation that member-countries Chancellors pronounce these words, while
should allocate a minimum of 26 percent of awarding degrees to their institutions’
their annual expenditure to education graduates, “you have been found worthy in
(Pooja, 2017). While other countries are character and learning…” In education
aggressively improving on their educational parlance, it means that the individual has
system and repositioning their economies acquired adequate and appropriate
through effective policies to be able to knowledge, skills and attitudes and values,
effectively compete in the increasingly known as cognitive, psychomotor and
knowledge-driven global economy, Nigeria affective behaviours to be able to function
is regrettably moving backward through optimally as a citizen. These behaviours are
inadequate funding of the sector. The the focus of training individuals in
situation is aggravated by incessant strike institutions of learning. The planned and
actions on the part of Academic Staff systematic training given in an institution of
Union of Universities (ASUU), Nigerian learning is formal education. In an informal
Union of Teachers (NUT) among other education, there is no plan and the training
education professional groups. In is haphazard and incidental (Offorman,
recognition of the potential of CSR in 2019). Education is the process through
gaining competitive advantage, contributing which individuals are made functional
to development and in brand building, members of their society (Ocho, 2015). It is
many corporate brands have channeled a process through which people acquire
considerable efforts towards the knowledge and realize their potentialities
development of education in their and use them for self- actualization, to be
respective host communities and useful to themselves and the entire society.
incorporated education into their respective It is a means of preserving, transmitting and
CSR budgets. improving the culture of the society. In
every society, education connotes
Education is the process of
acquisition of something good. The
providing information to an inexperienced
National Policy on Education (2014), cited
person to help him/her develop physically,
in Santas (2016) defines education as the
mentally, socially, emotionally, spiritually,
process that helps to develop the whole
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will benefit from the experience and maintenance. It is, therefore, suggested that
expertise that corporations bring to the every student in the school should be
table. encouraged to join the alumni association
after graduation. Alumni should be taught,
from day one, that their financial and moral
contributions are important. They should be
look to their local and international alumni association is to create a desire among ex-
for advice, advocacy and support, and students to identify themselves with their
remain responsive to the needs of their university; to generate and sustain interest
alumni to keep the line of communication and participation in the affairs of their alma
services for their members, as well as free university's name and reputation (Rust,
library services, and offer information 2022). Governments are making substantial
about their occupations and career. cuts in public spending, and its contribution
Furthermore, alumni associations: (1) offer to university education declined by 9%
services and activities which meet the need from 2000 to 2012 while the burden on
of alumni members; (2) provide a forum for students increased by 7% during the same
alumni to become involve in policy making period (PWC, 2015). This is one of the
and education issues within tile institution; factors that has caused public education
institution’s status and maintaining the competitive (Pérez, 2016). Other factors
(4) contribute towards recurrent costs, competitive are increasing competition due
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seriously on financial donations from their believed that Students can take out loans to
(Terry & Macy, 2017). loans in Nigeria have been limited and
difficult to obtain, making it challenging for
Tertiary institutions need to identify
many students to access higher education.
the factors influencing Alumni's intentions
In Nigeria, students’ loans can be a means
to invest in the university that is their Alma
of funding education for students who do
mater, especially in terms of financial
not have the financial resources to pay for
support Aikins, (2019), Alumni giving is
their education. The Nigerian government,
hinged on students' social experience,
through the Central Bank of Nigeria
academic experience, Alumni relations
(CBN), has set up a Students Loan Scheme
practices, and labour market orientation.
(SLS) to provide loans to Nigerian students
According to Cunningham (2022), Alumni
who are pursuing undergraduate,
donation can be motivated by factors such
postgraduate, and vocational/technical
as characteristics of the giver, readiness to
education. Halidu (2015) to access the SLS,
give, ability to give, willingness to give,
students must meet certain eligibility
and view about how well an institution
criteria, including being a Nigerian citizen,
deserves a donation. Good academic
being enrolled in a public tertiary
performance, a conducive environment,
institution, having a guarantor, and
academic performance, diversity of student
demonstrating academic excellence. The
support services, investments, and extra-
loan amount is determined based on the
curriculum activities positively affects a
cost of tuition, accommodation, and other
tertiary institution's reputation. Personal
related expenses.
learning and student experience an alumnus
has while studying in a university can lay In any country, student aid policy is
the foundations for the future relationship designed to achieve a number of different
with the university and positively influence objectives, though these are not always
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explicit. In the case of student loan In some countries such aid is called
programs, the objectives are often clearly a "repayable scholarship", rather than a
spelled out, when the scheme is first loan, and in some countries, the repayment
established, but subsequent changes may obligation involves a commitment to work
give greater or less emphasis to particular in a particular occupation (teaching) or in a
aims. A further problem is that the language particular region, rather than repayment in
of student aid programs is not always clear, monetary terms. This type of financial
and different words are used to describe assistance may be called a bonded
similar programs in different countries, scholarship, or a pre- salary (contrats de
while the word "loan" or "scholarship" is preembauche in France), but in the context
certainly not always used in the same way of developing countries they have been
(Hawk 2022). The main purpose of student called "service-loans" (Ciller 2015). Ekpo
loans, or educational credit, is to provide & Okpa (2017) Student loans, or
access for students to capital funds, to educational credit, like other forms of
enable them to finance all, or part of, the financial aid for students which may be
costs of their education, by borrowing, called grants, scholarships, bursaries,
while they are studying, and to repay this, awards, fellowships, or may consist of
at a later date. The terms "student loans" or subsidised work opportunities, as in the
"educational credit" refer to a system of College-Work-Study Program in the USA,
financial aid for students which entails a are primarily intended to provide students
repayment obligation, on the part of the with financial assistance towards the costs
student, but this obligation may take of tuition or maintenance. However, the
different forms. In most cases the debt must fundamental difference between loans and
be repaid, either with or without interest, in grants is that students must repay the loan,
a given period of time, and the loan and so contribute directly to the cost of
therefore resembles a mortgage. In some their education, out of their subsequent
cases the length of time of repayment may earnings. Thus, a loan scheme involves less
be varied, and the installments may not be financial burden for the government, and
of equal size. Alternatively a student may ultimately the taxpayer, than a system of
undertake to repay the debt by means of a grants or scholarships.
fixed proportion of his or her future salary,
an "income-contingent loan"(Halidu, 2022).
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(2019) observed that NGOs in Nigeria that will help develop the education
concentrated most of their activities on sector as well as setting up these
education through functional education for ideas as models. For example model
adults, both men and women. They have schools are built where quality is
been particularly working on secondary projected for all to see.
school drop outs. Unfortunately roles of
3. Facilitating Communication:
NGOs are not defined in most African
NGOs are seen as a bridging gap
countries. In the same vain NGOs in
between government and the
Nigeria have no assigned role that is backed
primary school system. This is so in
up by law, thus NGOs working in the
that NGOs communicate
education sector are guided by the general
government policies better to
rules guiding operations of an NGO.
schools and also communicate
These roles as elaborated by Togbolo challenges of schools back to the
(2022) includes the following: government.
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the Poor: this forms the bulk of the wastages and leakages there by overriding
work for most NGOs. This has to do macroeconomic conditions that have
with advocacy on equity and access determined the fate of the sector and where
to education for all especially at the the economy is not growing at a reasonable
basic education level. high and sustainable rate, it will not have
the resources to fund a largely – social
5 Research Monitoring and
service sector such as education in Nigeria
Evaluation: NGOs are centered
with a high population growth rate,
mainly on ensuring that a
lackluster growth rate of the GDP would
programmes action plan or
imply severe resource constraints, which
government policies are followed up
could lead to the poor resourcing of social
to achieve it desired objectives.
sector such as education (Debie,2019).
They also ensure the judicious use
of funds. CONCLUSION
6 Advocacy for and with the poor: In conclusion, while the government
This forms the bulk of the work for is the primary source of funding for
most NGOs. This has to do with education in Nigeria, the amount allocated
advocacy on equity and access to is often inadequate to meet the needs of the
education for all especially at the sector. The government needs to prioritize
basic education levels education and increase funding to ensure
that every Nigerian has access to quality
CHALLENGES OF FUNDING
education. The financial constraints in the
EDUCATION IN NIGERIA
country have negatively impacted
The challenges of Nigeria education. Government alone may not be
education sector in general and its funding able to fund education effectively and
in particular could be traced to policy and efficiently due to the economic situation in
strategy instability and inconsistency, Nigeria. To sustain education in the
inefficient management, lack of country, all stakeholders must be involved,
coordination among government, the parents and guardians, the society in
inadequate statistical data, political general, the private sector and non-
instability, lack of political commitment, governmental agencies.
corruption, politicization of education,
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