Higher education financial sustainability in Ghana: A study of the perceived influential factors

Abstract

The quest by public higher educational institutions to increase access is heavily dependent on financial sustainability through sustained income and liquidity. This has necessitated these institutions globally to undertake revenue enhancement measures and cost management initiatives to close budgetary gaps. The study’s primary focus is to examine critical management factors that impact on university’s financial stability and competitiveness. This correlational survey study sought to establish the depth of the relationship between the following management factors; financing scheme, governance framework, and cost management, accounting information system, and pricing approach, on financial sustainability. The study’s outcome established a statistically significant relationship between all of the five factors on one hand and financial sustainability on the other hand. The findings further showed that three of the five factors: governance framework, cost management and pricing approach were significant in predicting a best fit equation for financial sustainability. The study’s recommendations should assist policymakers and higher education managers to review policies and legislations on cost and competitive fees structure of public higher education institutions in Ghana.