ERIC Number: ED454797
Record Type: Non-Journal
Publication Date: 1998-Mar
Reference Count: N/A
Diversification of Sources and the Role of Privatization in Financing Higher Education in the Arab States Region. IIEP Contributions, No. 30.
Sanyal, Bikas C.
Resources for higher education in the Arab states have depended on the overall economic situation of the countries in the region, and the economic growth of the region has been disappointing over the years. Of the 16 countries of the region, 7 had a negative average annual growth rate during the period 1960 to 1994, and 3 countries had an average annual growth rate of less than 1%. In spite of this economic weakness, the region continued to expand its higher education facilities. This increase occurred in spite of a decrease in the share of public expenditure for education in the Gross National Product overall. Most striking is the decrease in the share of allocation to higher education in the total allocation for education. To enable the higher education system to educate as many students as possible, several policies could be adopted, but different modes of privatization would appear to be the most effective approaches. The advantages and disadvantages of privatization are discussed, and the strategies Arab states could adopt in respect to privatization are outlined. Whatever the share of the state and private sector today, the state should move toward financial decentralization in order to encourage the mobilization of untapped resources and raise the system's cost consciousness with the application of norms for resource allocation and utilization while providing incentives for operational efficiency. The system that evolves must be flexible with precautionary measures for accountability and transparency to allow for any open system following the market forces of demand and supply. (Contains 8 tables and 17 references.) (SLD)
Descriptors: Decentralization, Economic Factors, Educational Finance, Foreign Countries, Higher Education, Private Financial Support, Privatization, Resource Allocation
International Institute for Educational Planning, 7-9 rue Eugene Delacroix, 75116 Paris, France. Tel: +33(1)45.03.77.00; Fax: +33(1)188.8.131.52; Web site: http://www.unesco.org/iiep.
Publication Type: Reports - Descriptive; Speeches/Meeting Papers
Education Level: N/A
Authoring Institution: United Nations Educational, Scientific, and Cultural Organization, Paris (France). International Inst. for Educational Planning.