EDUCATION FUNDING 3: MALAYSIA

Implementation Strategies

6.4 The MOE will expand its sources of funds by encouraging the private sector and individuals to provide funds directly to educational institutions; increase the participation of the private sector, non-governmental organisations, and individuals in financing education programmes; introduce competitive fees for foreign students at all public educational institutions; and issue bonds that are backed by the Federal Government.

6.5 The strategies to enhance efficiency in financial management include upgrading of knowledge and skills in financial management among education managers; giving more empowerment to those managing education finance; establishing more educational institutions as Responsibility Centres (Pusat Tanggungjawab); strengthening financial monitoring activities; and providing continuous supervision of the expenditure of all educational programmes.

6.6 Steps will also be taken to increse the number of incomegenerating agencies especially those involved in training, consultancy services, publishing, and marketing their own products; increase the quality of R&D carried out in all departments, divisions and corporate bodies of the MOE and other public higher education institutions, and commercialising the R&D products; expand the operations and increase the effectiveness of income-generating agencies; and establish more trust accounts for educational institutions.

6.7 The Blueprint plans to increase private sector participation in funding educational programmes through provision of incentives and encouragement for direct financial contributions to educational institutions, create smart partnerships between public and private higher education institutions with the private sector, and create a cost sharing mechanism in providing facilities for training and R&D activities.