Policy Workshop on Private Higher Education Damascus 8 December 2004

1. Policy Workshop on Private Higher Education Damascus 8 December 2004

2. some dimensions of diversity • constitutional ban

3. some dimensions of diversity • constitutional ban • limited private

4. some dimensions of diversity • constitutional ban • limited private • significant participation

5. some dimensions of diversity • constitutional ban • limited private • significant participation • majority enrollment

6. share of private higher education enrolments Korea 75% Indonesia 65% Philippines 80% Colombia 60% Brazil 60%

7. proportion of private enrollment

8. growth of private enrollment in Latin America (1970 - 1994)

9. some dimensions of diversity • poor quality

10. some dimensions of diversity • poor quality • the best show in town

11. outline of the presentation... • the potential benefits of private higher education • the risks involved • the role of the State

12. outline of the presentation... • the potential benefits of private higher education • the risks involved • the role of the State

13. potential benefits • providing opportunities in constrained environment

14. potential benefits • providing opportunities in constrained environment • complementing government funding

15. enrollment rates by region (1970-1999)

17. knowledge is a key factor in explaining the difference between poverty and wealth

18. Korea vs. Ghana • Korea • 1950s: • growth of public tertiary education with tuition fees • 1960s: • government financial incentives to promote private tertiary sector growth • 1970s and 80s: • development of science and engineering programs • 1990s: • emphasis on quality assurance, R&D, accountability, performance-based funding

19. Ghana vs. Korea • Ghana • 1950s – 1970s • slow growth of “free” public tertiary education • 1980s: • initiation of reforms: quality, financial sustainability, expansion of public tertiary education • 1990s: • weak application of reform programs

20. Korea vs. Ghana • evolution 1960-2002 • enrollment rate • Korea: 2% in 1945 to 80% • Ghana: remained at 2% • private sector enrollment • Korea: 75% of total • Ghana: 6% of total • public expenditure per student • Korea: increase from $2,700 to $4,500 • Ghana: decrease from $1,200 to $850 • tertiary education linkages with economy and labor market • Korea: strong • Ghana: weak

21. potential benefits • providing opportunities in constrained environment • complementing government funding • being closer to employers needs

22. linkages with the productive sectors • management team • board with external representatives • practitioners as part-time professors • speed to market

23. potential benefits • providing opportunities in constrained environment • complementing government funding • being closer to employers needs • providing healthy stimulation through competition

24. healthy competition • Bolivia

25. healthy competition • Bolivia • Uruguay

28. healthy competition • Bolivia • Uruguay • Russia

29. healthy competition • Bolivia • Uruguay • Russia • Jordan and Lebanon

30. outline of the presentation... • the potential benefits of private higher education • the risks involved • the role of the State

31. the risks involved • inadequate quality • increasing inequalities • unfair competition

32. the quality challenge • diploma mills

33. the quality challenge • diploma mills • franchise institutions

34. franchise universities …

35. franchise universities …

36. the quality challenge • diploma mills • franchise institutions • quality assurance for virtual institutions and e-learning

37. virtual universities

38. the equity challenge • the higher the tuition fees, the more elitist the institution • eligibility for public resources? • scholarships • student loans

39. unequal competition • “free riding” the use of public professors

40. beware of foreign providers! • unequal competition • corporate behavior

41. for-profits targeting developing world • Apollo Group (Univ of Phoenix) -- Apollo International • Sylvan Learning Systems • Universidad Europea de Madrid • Universidad del Valle in Mexico • Unext.com? • Columbia, Chicago, Stanford, LSE, Carnegie Mellon

42. changing behavior

43. corporate behavior

44. forced marriage

45. outline of the presentation... • the potential benefits of private higher education • the risks involved • the role of the State

46. the role of the State • mitigating the risks • promoting the harmonious growth of private institutions

47. main responsibility of the State • to put in place an enabling framework that encourages all higher institutions to be more innovative and responsive

48. role of the State • define a coherent national strategic vision and policy framework

49. is there a vision?

50. role of the State • define a coherent national strategic vision and policy framework • establish an enabling regulatory environment