University Fee Hikes & Scholarship Cuts Expected as Govt Prioritizes Road Projects. Pakistan’s higher education system is heading toward a serious financial crisis. The Higher Education Commission (HEC) has warned that universities may soon increase tuition fees and cut scholarships as federal funding remains frozen for years—while government spending grows heavily on roads and infrastructure instead of education.
HEC Warns of a Financial Meltdown in Universities
In a written reply to the National Assembly, the Ministry of Education revealed that recurring allocations for universities have remained unchanged since 2018–19. During these years, student enrolment, administrative costs, and faculty numbers have sharply increased.
HEC cautioned that this long freeze in funding is creating a dangerous financial gap:
- Universities may be forced to increase tuition fees
- Enrolment could decline due to affordability issues
- Students from underprivileged backgrounds may face greater barriers to higher education
The commission emphasized that without adequate support, universities cannot move toward financial sustainability.
35% Cut in Development Budget Reduces Scholarships
One of the biggest blows to higher education came from a 35% cut in the development budget:
| Fiscal Year | Development Budget | Cut |
|---|---|---|
| FY 2024–25 | Rs. 61.1 billion | — |
| FY 2025–26 | Rs. 39.5 billion | 35% decrease |
Due to this cut, scholarship programs have been reduced, especially those meant for deserving and low-income students.
Foreign Scholarships Still Running, But Under Pressure
Education Minister Dr. Khalid Maqbool Siddiqui informed the National Assembly that Pakistan currently offers 27 international scholarship programs in partnership with foreign universities. These scholarships support students from:
- Bachelor’s level
- Master’s programs
- MPhil and PhD
- Postdoctoral research
However, experts warn that if budget cuts continue, these programs will also face serious risks.
Government Prioritizing Roads Over Education?
Economic analysts argue that the government’s spending priorities have shifted toward visible, presentable projects like road construction and infrastructure development. Meanwhile, essential sectors such as healthcare and education are being neglected.
Experts believe that ignoring these sectors today may lead to long-term economic and human capital damage, making the country fall behind in global competitiveness.
Population Booming While Literacy Barely Improves
Responding to another parliamentary question, the education minister shared alarming statistics:
- Pakistan’s population reached 241.49 million in the 2023 census.
- Population grew at a rate of 2.55% per year from 2017 to 2023.
- Literacy increased from only 58.9% to 60.7% in the same period—just 1.8% growth.
This means population growth is outpacing the country’s progress in literacy, putting heavy pressure on schools and universities.
New Initiatives for Out-of-School Children
To address the widening gap, the ministry is expanding non-formal and inclusive education programs, focusing on:
- Out-of-school children
- Marginalized communities
- Remote and underserved regions
However, without adequate funding, these programs may also face slow implementation.
New HEC Leadership Expected Soon
HEC is currently functioning under temporary management. But major appointments are now in their final stages.
Executive Director Appointment Confirmed
Prof. Dr. Ziaul Haq, Vice Chancellor of Khyber Medical University, has been selected as the new Executive Director (ED) of HEC. He is expected to assume his role in the coming days.
Interviews for HEC Chairman
For the position of HEC Chairman, the search committee has shortlisted around 30 candidates. Interviews are scheduled next week, and the final appointment will be made soon.
Conclusion
Pakistan’s higher education sector is facing a critical crossroads. Stagnant funding, budget cuts, scholarship reductions, and rising operational costs threaten the future of universities and the opportunities available to students. Unless education is prioritized alongside infrastructure, the country risks widening its literacy gap and losing its competitive edge. Immediate policy action and sustained investment are essential to safeguard the future of millions of students.












