Education is viewed worldwide as the cornerstone of social, economic and political
development; and as a fundamental strategy for human resource development. Psacharopoulos
and Woodhall (1985) have concluded that education of the labour force appears to explain a
substantial part of growth of output in both developed and developing countries since 1950.
Investment in education is the key to the development process in any country. Its importance is
reflected in the growing recognition in the formal, informal and non formal education and
training which enhance and provide skills, knowledge, attitudes and motivation necessary for
economic and social development. Significant resources have therefore been invested over the
years by the government of Kenya and other stakeholders to expand and improve education at all
levels (Republic of Kenya, 1997).
Kenya’s education has experienced growth since 1963. According to Economic Surveys, 1997
and 2002, primary school enrolment tripled from 891,533 in 6,053 schools in 1963 to 5,530,200
in 15,465 schools in 1993, and to 6,314,600 in18,901 schools by 2001. Enrollment in secondary
schools also went up from 30,121 in151 secondary schools in 1963 to 638,388 in 1995 to
658,256 in 1996 and to818,247 in 3621 schools by2002 (Republic of Kenya, 1997b, 2002b).This
increase is attributed to among other factors the rising social demand for education and training
opportunities; a fast growing population; the government’s commitment to making education
accessible to most Kenyans; the demand for manpower to meet the development needs of the
country; and the participation of the community in providing educational facilities and
infrastructure through “harambee” contributions (Republic of Kenya,1988).
Secondary education plays a significant role in supplying middle level manpower for economic
growth and development. Planners expect subsequent leaders in the next decades to be secondary
school leavers who will constitute the human resource base of the country for subsequent
growth. Secondary education therefore strengthens the general intellectual skills that were
relevant to many occupations and subsequent education. Thus its basic goal is to prepare the
individual for adult responsibility and the world of work (World Bank, 1988).
Education is largely financed by the public sector in many countries. The manpower and rates of
return arguments justify the increasing rate of the state in financing of education (Ayot and
Briggs, 1992). The emerging demand for education led to massive increase in the spending on
education worldwide. In 1960, the world used 3.2% of world Gross National Product on
education alone. This rose to 4.8% in 1974. The GNP devoted to education in the developing
countries particularly Asia, Latin America and Africa rose from 2.3% in 1969 to 3.9% in 1984
and to 4.5% in1994 (World Bank, 2003).