The Higher Education Commission (HEC) has raised a red flag over the mounting financial pressure faced by public universities across Pakistan, citing stagnation in federal funding and a sharp reduction in development grants.
In a written response to the National Assembly, the Ministry of Education disclosed that annual recurring allocations for universities have not increased since the 2018-19 fiscal year, despite significant rises in student enrolment, faculty hiring, and administrative staffing.
More alarmingly, development funding has fallen 35%, from Rs 61.1 billion in FY 2024-25 to Rs 39.5 billion in FY 2025-26. The HEC warns that this cut is already hurting scholarship programmes and jeopardising access to education for under-privileged students.
If the trend continues, universities may need to hike tuition fees, reduce admissions or limit financial aid—which could significantly raise barriers for students from low-income backgrounds.