Report calls for more funds for higher education

Malta's post-secondary and tertiary institutions are under "severe financial pressure", and the status quo is not an option, according to the findings of a report published yesterday.

The government's first reactions to the report are expected in the budget, Education Minister Louis Galea said.

The report, State Higher Education Funding, which was compiled by a working group chaired by Roderick Chalmers, explained that pressures on post-secondary and tertiary institutions manifested themselves in inadequate infrastructure and under-investment, with insufficient funds available for basic necessities. Mr Chalmers said this was inevitably affecting the morale of workers.

The way forward to reshape higher education is not a single event, but a whole process, he said.

The report stated that Malta's investment in tertiary education was below European Union norms, and a disproportionate amount of the investment was channelled into student support. In fact, 1999 statistics showed that student support at tertiary education made up 36.8 per cent of the expenditure for that sector, as opposed to a 16 per cent EU average. Mr Chalmers said the more that was spent on maintenance grants, the less funds would be available for the institutions themselves.

"The current system is irreversibly broken and requires revision," he said.

The report showed that although Malta had made significant progress to step up participation in post-secondary and tertiary institutions, continuous investment was required. Statistics show that while 66 per cent of 17-year-olds are participating in education, the percentage goes down to 44 per cent for 19-year-olds.

"We should continue to invest in the further education of Malta's premier resource - our people," it said.

The report also showed that the spend per student at University has dropped by 23 per cent from Lm1,038 in 1999 to Lm800 this year.

"If Malta is to continue to encourage higher levels of post-secondary and tertiary education, then we must be prepared to back this encouragement with the commitment of matching funds to the institutions," it stressed.

During his presentation Mr Chalmers said the trend was to move towards the implementation of tuition fees, and increase the existing ones since governments were finding it increasingly difficult to carry all the burden. However, he emphasised that the principle of equal access should always be respected. He said many countries saw proper formula funding - relating the level of funding according to the number of students - as the way forward.

With regard to the financing of tertiary education, the report said the government would need to determine whether it believed that it could continue in its role as the sole provider of finance to institutions, whether the student maintenance grant system should be amended, whether tuition or registration fees should be introduced, and whether the post secondary and tertiary platform should be tilted in any way so that students are given incentives to follow courses which were perceived beneficial or would contribute directly to the country's future economic prosperity.

The report showed that a tuition fee of Lm300 per annum would increase University revenue by 20 per cent while a Lm500 annual fee would increase it by 29 per cent.

The working group spoke to different stakeholders during the compilation of the report, and said most parties favoured a student maintenance grant system which was available when needed on a means test basis. On the other hand, the Kunsill Studenti Universitarji strongly opposed any changes to the system.

Accountability was another issue tackled by the working group, which stressed that proper and effective accountability was "an absolute pre-requisite", and should be both quantitative and qualitative. The report said current standards of accountability were "wholly inadequate" and in need of a "radical revamp".

Mr Chalmers stressed that re-evaluation was an international phenomenon, not unique to Malta, and should not be "overly politicised".

The working group chairman said the education sector held "real opportunities" for Malta, and if it played its cards well the country could become a strategic centre of higher education.

In his closing address the minister stressed that the government was not bound to implement any of the recommendations made in the report, but he stressed that an open and extensive discussion would be held.

"But the government will not ignore the facts," he emphasised.

Dr Galea said this was not solely an exercise about stipends, and did not have anything to do with the country's deficit, but revolved around the total reshaping of the education landscape.

"Everything needs to change," he said, adding that, although it was a complex process, it was feasible with everyone's effort.

The minister emphasised that there would still be education access for everyone, and nothing would keep those who wanted an education from getting one.

The consultation process about the report will take place between January and March, and between April and May the government will go through the process, with decisions expected in June. The minister said the decisions should start being implemented by the next scholastic year.

"Let us rise to the occasion," he urged.