Impact of Capitation Transfers on School Performance in Kenya

In developing countries, access to education has increased considerably over the last 20 years, with many more children, particularly underprivileged children, entering school earlier and staying in school longer than ever before. This has been attributed by among others the governments support through capitation transfers. Capitation grant is a basic educational finance strategy that is utilized in many countries to provide financial resources to public institutions. The objective of the study was to determine the impact of capitation transfers on the performance of primary schools in North Horr Sub- County. The predictor variables in the study were the reliability, timeliness and the adequacy of the cash transfers. On the other hand, the control variables were teacher competency and the school size as measured by the learners’ population. The inferential results show that the performance of the primary schools is affected by the variables under investigation to an extent of 12.5%. This finding suggests that other factors that determine school performance explain 87.5% of the variable.