MPs Raise Alarm Over Financial Mismanagement in National Schools

National Schools are facing increased scrutiny over their financial management after the National Assembly Public Investments Committee on Governance and Education raised concerns over textbook distribution, long-standing fee arrears and unauthorised borrowing from commercial banks.

Some national schools had received hundreds of textbooks beyond their requirements, while others, particularly those in marginalized areas, continued to experience shortages, according to the committee.

The concerns emerged on Thursday, September 3, 2026, as the committee examined Auditor-General reports covering the 2020/21 to 2024/25 financial years during a retreat at the Royal Swiss Hotel in Kisumu.

Principals and senior school administrators from Ng’iya Girls High School, Maseno School, Maranda Boys High School, Kisumu Girls High School and Chavakali Boys High School appeared before the committee.

Committee chairperson and Luanda MP Dick Maungu said the MPs had identified major discrepancies in the distribution of learning materials.

“We have seen a school that received 400 and 506 extra books,” Maungu said.

MPs Question Textbook Distribution

Maungu questioned whether the allocation system uses accurate and up-to-date enrolment figures. He said sending excess books to some schools could leave others without enough learning materials.

“The question is, when you receive extra numbers, does it mean there is a school somewhere that does not have books?” he asked.

Consequently, the committee said it would summon the Kenya Institute of Curriculum Development (KICD) to explain how it allocates textbooks and whether it uses current enrolment data.

Maungu also called on the Government to ensure that National Schools in marginalized and far-flung areas, including Mandera and Turkana, receive adequate learning materials.

“We expect KICD to have the right data to ensure that the books supplied are enough for the students who are there, so that those in far-flung areas in Mandera, Turkana and other places get what is supposed to be theirs,” he said.

National Schools Face Long-Standing Fee Arrears

Beyond textbook distribution, the committee raised concerns over millions of shillings in outstanding school fees.

Some of the arrears date back to 2010 and 2015, putting additional pressure on school administrators.

“A matter came out that schools have millions of shillings which are collected, and you find some of them date back to 2015 or 2010,” he said.

At the same time, Maungu noted that schools must recover outstanding fees without withholding students’ certificates, particularly when learners need the documents to join universities and colleges.

“We have advised them that they don’t need to hold a certificate for the learner because this student wants to join university or college. On the other hand, they need to have this money paid,” Maungu said.

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To address the long-standing arrears, Maungu proposed that schools prepare schedules showing the outstanding amounts and submit them to the Ministry of Education for consideration.

“Such cannot happen by the authority of the board or the ministry. They need to seek a waiver from the ministry and table a schedule of all the fees that are in arrears for many years before the Basic Education Department, which can then forward it to Treasury,” he said.

He further linked some of the outstanding receivables to delayed capitation and urged the Government to release funds on time.

“Some of those receivables are due to capitation not being sent. We call upon the Government to ensure that it supports the head teachers by making their work easier by sending capitation as it should,” he said.

MPs Question Unauthorized School Borrowing

Meanwhile, the committee questioned the decision by some National Schools to obtain commercial bank loans without the required approvals.

MPs warned that uncontrolled borrowing could expose schools to serious financial risks.

Maungu cited Ng’iya Girls High School, which had obtained a loan of about Ksh50 million for a project estimated to cost Ksh150 million.

“That should be very limited. If you allow principals to keep borrowing money left, right and centre, we shall enter into a total mess,” he said.

Education Cabinet Secretary Julius Migos Ogamba while appearing before the National Assembly’s Public Investments Committee on Governance and Education (PIC-G&E) at Parliament Buildings on Wednesday, July 15, 2026. PHOTO/ PoK

He stressed that school heads cannot independently secure bank facilities without following the required approval process.

“The law is very clear. No principal can simply walk into a bank and take a facility. There should be approvals from the Ministry of Education and Treasury,” he said.

The committee plans to present recommendations to Parliament on how to deal with schools that take loans without the necessary approvals.

“We shall table a report in Parliament on what should happen with schools that go into borrowing because that should not be allowed,” he said.

Also Read: Jomo Kenyatta Boys High School Closed After Night of Chaos, Fire Razes Buildings

Committee Questions School Procurement

The committee also raised concerns over procurement practices in National Schools, particularly the failure by some institutions to follow public procurement rules.

Maungu said schools must comply with the Public Procurement and Asset Disposal Act when purchasing goods and services.

“The Public Procurement and Asset Disposal Act is very clear as to how public institutions must procure. Unfortunately, some of our schools procure as if they are procuring for private entities,” he said.

He further called for National Schools to employ qualified procurement officers who can ensure that institutions follow the law.

“It is important that a national school has a head of procurement who can procure and follow what is supposed to be done,” he said.

For smaller schools that may struggle to employ full-time procurement officers, Maungu said the Ministry could explore support through sub-county structures.

The committee will use its findings to prepare recommendations for Parliament as it continues reviewing the financial management of public schools.

“Going by the new Constitution, the Public Finance Management Act and the Public Audit Act, it is very important that this committee, which is in charge of governance and education, examines the reports of the Auditor-General,” he said.

He added that the committee had started its review with National Schools, classified as C1 institutions, before moving to other categories of schools.

“For the first time in this country, this committee will be taking on the books of high schools.”

Maungu said Kenya has about 120 to 130 National Schools under the C1 category, making the exercise an important part of Parliament’s oversight of public resources.

The scrutiny will therefore help the committee assess whether schools are using public funds properly while addressing weaknesses identified in Auditor-General reports.

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A photo of the flagging off of the nationwide distribution of 11,867,325 textbooks at English Press Ltd in Nairobi on Thursday, January 22, 2026. PHOTO/Julius Migos X