The law on higher education mentions the following sources of funding in public higher education: State budget, student tuition fees, income from services rendered or generated by third parties, donations, scientific activities, international projects, bilateral or multilateral agreements, funding from special funds.
The resources obtained from services, research, consultancy or any activity carried out by academic staff are divided between the academic staff and HEI, pursuant to existing legislation and regulations approved by Governing Board. Public higher education institutions regulate those distribution modalities by their internal acts.
State budget funds are allocated in the form of grants, pursuant to the following categories: grant for policy development of public higher education institutions; teaching grant; scientific research and grant for creative activities.
Funding support for the institution and academic infrastructure is allocated based on ranking of public higher education institutions made by National Agency of Scientific Research and Innovation.
The teaching grant includes funds targeted at public higher education institutions and support of students.
Funds targeted at institutions are allocated among public higher education institutions according to a formula that guarantees equal opportunities, fairness and transparency. Funding for competing projects for higher education institutions development is awarded based on applications evaluated according to criteria set in sector strategy and annual budget law.
Institutions are free to make investments. Higher education institutions charge tuition fees, which are fixed by relevant Decrees of Council of Ministers. Universities are not restricted in the manner they use the tuition fees. Tuition fees constitute a significant part of higher education institutions funding. Universities are also encouraged to seek private funding and have the right to receive loans for their institutional and infrastructure development. Universities are required to report on the amount and use of such private funding.
The government makes available public funds to support study programs or specific fields of scientific research, in accordance with development priorities and strategic interests of the country. National Agency of Research and Innovation (NASRI) is a public institution under the authority of the line ministry for education sport and youth, whose main responsibility is allocation of funds for scientific research programs on the basis of projects submitted by institutions of higher education and scientific research institutions in the fields of natural sciences, engineering, technological, medical, agricultural, human and social sciences. On the basis of competition among applicants, NASRI approves funding for projects of doctoral studies. It administers also other funds related to research and innovation in the framework of national programs, international and bilateral scientific research, which it distributes based on applications of institutions.
Financial Autonomy and Control
The State funded higher education institutions are autonomous guaranteed by the law on higher education. Autonomy means freedom of higher education institutions to run their own affairs regarding staff, students, curricula, teaching and evaluation, governance, finance and administration.
In accordance with Law on Higher Education all higher education institutions enjoy academic freedom and institutional, organizational and staff selection autonomy. In addition, law guarantees financial autonomy by granting to HEI the right to generate legitimate incomes from teaching activities, scientific research activities, arts and sports activities and by any other economic income in line with the legislative framework in force. Furthermore, the same law grants to higher education institutions the right to receive funds from the State and other organizations, to define internal rules for distribution of funds, use of income and to administer real estates and the income wealth that they possess legally.
Fees within Public Higher Education
According to the new law on higher education, fees are determined by HEIs, including public ones, within the ceiling provided in bylaws.
Financial Support for Learners' Families
There are no structural measures targeting learners' families. All existing structural measures apply to students directly.
Financial Support for Learners
The new law on higher education provides for a student loan scheme in Article 114. It states that Ministry of Education Sports and Youth mediates the students’ lending process, with the aim of providing financial support to afford the costs of studies. In principle, the student loan scheme will be open to all students who gained the right to study in a higher education institution. A Decree of Council of Ministers shall provide for the student loan scheme. Despite the fact that the law entered into force on 6 October 2015, the necessary bylaws need to be drafted to make this scheme functional.
The student support fund includes three funding categories:
- scholarships for excellent students;
- scholarships for students enrolled in study programmes that constitute a national priority;
- scholarships for students belonging to disadvantaged social groups;
Scholarships for excellent students are awarded at the national level to students with maximal Grade point average GPA at entrance, regardless of study programmes and institutions where they attend their studies. The student continues to benefit from this grant if her/his results continue to be excellent throughout the years of study.
Scholarships for students are granted to students who have chosen to attend a study programme in a public higher education institution, which constitutes a national priority area, as defined by Council of Ministers.
Scholarships for disadvantaged social groups are distributed to students who are admitted to a public higher education institution and meet the criteria to be considered as students in need, as defined by Council of Ministers.
NAHEF awards these grants according to specifications made to the relevant Decision of Council of Ministers.
The main source of income for the functioning of such institutions are tuition fees. Based on the new law on higher education, the private higher education institutions may benefit from State budget funds only in two cases: from scholarships offered to students who decide to study in a private higher education institution and from scientific research fund if the private institution is awarded a project dedicated to research