Financial health of the Malaysian public universities: whither the way forward?

Mohd Said, Julia and Mamat, Suaniza and Nik Ahmad, Nik Nazli and Borhan, Amalina (2023) Financial health of the Malaysian public universities: whither the way forward? Journal of Higher Education Policy and Management. pp. 1-16. ISSN 1360-080X E-ISSN 1469-9508 (In Press)

	PDF Restricted to Registered users only Download (736kB) | Request a copy
Preview	PDF Download (83kB) | Preview

Abstract

The purpose of the paper is to examine the financial health of selected public universities in Malaysia. The study assessed the performance of Malaysian research universities, on the primary reserve ratio, viability ratio, return on net asset ratio and net operating revenue ratio, as well as the Hirschman-Herfindahl Index for revenue diversification from 2010 to 2020. Results suggest poor financial health, high dependence on government funding and revenue volatility. Several universities recorded consecutive financial deficits in recent years. Third-stream revenues are low, and the universities are struggling to generate the 25% self-generated revenue target set by the government. This paper provides longitudinal empirical data on the financial health of public universities and has important implications for policymakers and university management in budget allocation and financial management decisions, particularly given the adverse financial impacts of the COVID-19 pandemic.

Item Type:	Article (Journal)
Subjects:	H Social Sciences > H Social Sciences (General) H Social Sciences > HJ Public Finance > HJ2005 Income and expenditure. The budget
Kulliyyahs/Centres/Divisions/Institutes (Can select more than one option. Press CONTROL button):	Kulliyyah of Economics and Management Sciences Kulliyyah of Economics and Management Sciences > Department of Accounting
Depositing User:	julia mohd said
Date Deposited:	03 Jul 2023 15:23
Last Modified:	03 Jul 2023 15:23
URI:	http://irep.iium.edu.my/id/eprint/105285

Actions (login required)

View Item