Revenue generation strategies in Sub-Saharan African universities

Abstract

Financial sustainability is one of the key challenges for public universities in both developed and developing countries. Using a resource dependence approach, this study explores the issue of revenue generation in Sub-Saharan African universities. It analyses the diversification strategies that four universities in three African countries (Ethiopia, Kenya, and South Africa) have implemented in order to improve their universities’ financial situation. Universities in Sub-Saharan Africa are faced with many trade-offs, challenges and constraints. In their move to revenue generation, universities are exposed to a wider array of stakeholder interests, public authorities, students, donors and business. Based on a rich set of data from interviews and document analysis, we have identified the various revenue generation initiatives undertaken by the universities. This has improved our understanding of the enablers and barriers for revenue generation in Sub-Saharan African universities. Finally, some policy recommendations for enhancing revenue generation are made.