Financing Education / pdf - Unesco

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PROGRESS IN FINANCING EDUCATION FOR ALL Changing national financial commitments to EFA since Dakar South and West Asia Latin America and the Caribbean North America and Western Europe Central and Eastern Europe 6 5 4 3 2 1 0 -1 -2 -3 Change in total public expenditure on education as % of GNP between 1999 and 2005 (percentage points) -4 Nepal Iran, Isl. Rep. Bangladesh India Pakistan Saint Kitts/Nevis Barbados Saint Vincent/Grenad. Mexico Bolivia Colombia El Salvador Belize Brazil Chile Guyana Costa Rica Uruguay Paraguay Argentina Nicaragua Peru Panama Saint Lucia Cyprus United Kingdom Greece Netherlands Ireland Switzerland United States Norway Denmark Finland Germany Portugal France Spain Italy Sweden Israel Austria Ukraine Poland Hungary Czech Rep. Slovakia Belarus Romania Rep. Moldova Turkey Latvia TFYR Macedonia Estonia Figure 4.2: Total public expenditure on education as % of GNP in sixteen sub-Saharan African countries, 1991—2005 12 Countries in which total public expenditure on education as % of GNP increased 12 Countries in which total public expenditure on education as % of GNP decreased Total public expenditure on education as % of GNP 10 8 6 4 2 Lesotho Swaziland Ethiopia Malawi Senegal Burundi Mauritius Total public expenditure on education as % of GNP 10 8 6 4 2 Namibia Kenya Seychelles South Africa Congo Niger Zambia Gambia Guinea 0 1991 1995 1999 2005 0 1991 1995 1999 2005 Sources: Annex, Statistical Table 11; UIS database. shares together with similar data for 1999 to 2005 for sixteen sub-Saharan African countries. Overall, there is a distinct pattern – an increase in the share in the years immediately following the Jomtien conference of 1990, followed by a reversal, then another surge after Dakar. On changes in the share of education in total government expenditure, less can be said. Only forty countries outside of North America and Western Europe have provided sufficient information to make comparisons between 1999 and 2005, and fifteen of these are in Latin America 145
0 2 0 8 CHAPTER 4 <strong>Education</strong> for All Global Monitoring Report The increases in education expenditure in sub-Saharan African countries are encouraging and the Caribbean. The data are too limited to support generalizations. However, of the four countries in the Arab States region that provided information – Lebanon, Morocco, Oman and Saudi Arabia – all increased the share of total government expenditure devoted to education. In South and West Asia, the share increased in the Islamic Republic of Iran and Nepal, while it fell in Bangladesh and India. In sub-Saharan Africa, the share increased in Lesotho (to 30%) and fell in Cameroon (9%), the Congo (8%), Mauritius (14%) and South Africa (18%). Growth in education expenditure: encouraging signs in sub-Saharan Africa and in South and West Asia A country may be increasing its public expenditure on education substantially but if its rate of overall economic growth is increasing faster, then education expenditure as a share of GNP will be falling. Conversely, in a country that is increasing education expenditure at a low rate, if its rate of economic growth is even lower, the share of GNP for education will increase. To supplement the information on expenditure shares, this subsection looks at rates of growth of education expenditure since 1999. 4 Information is available for 100 countries. Table 4.3 summarizes it by region. The region with the highest median rate of growth in education expenditure between 1999 and 2005 was Central Asia (8.1%), followed by sub-Saharan Africa (5.5%), Central and Eastern Europe (5.3%), South and West Asia (5.1%), East Asia and the Pacific (4.7%), and the Arab States (4.7%). The lowest rates were for North America and Western Europe (3.2%), and Latin America and the Caribbean (2.4%). Again, variations by country within each region are very large. Overall, the increases in education expenditure in sub-Saharan African countries are encouraging. GNP growth in this region has been lower than for any region except North America and Western Europe, and Latin America and the Caribbean, while the growth in education expenditure has been next to the highest. Also, while the countries of South and West Asia have not excelled in terms of increasing education’s share in GNP, their rate of growth in education expenditure has been relatively high. It is encouraging that in the two regions where most of the world’s out-of-school children live, education expenditure has been increasing rapidly. Of course, this does not apply to all countries in these regions. In the Gambia, Mauritania and Pakistan, for instance, small increases in economic growth were accompanied by even smaller increases in education spending. The Lao People’s Democratic Republic provides a good example of the importance of focusing on rates of expenditure growth: while the share of education expenditure in GNP was only 2.5% in 2005, the average growth rate in education spending was 24% a year from 1999. The distribution of public expenditure on education by level: differences across income level How do governments distribute their education budgets across the different levels of education? Information for 2004 or 2005 is available for eightyfive countries. Figure 4.3 shows the average shares of expenditure on primary, secondary and tertiary education in the high, upper middle, lower middle and low-income groups. Table 4.3: Annual compound rates of growth in total real public expenditure on education and GNP, 1999–2005 Sub-Saharan Africa Arab States Central Asia East Asia/ Pacific South/West Asia Latin America/ Caribbean N. America/ W. Europe Centr./East. Europe Total real public expenditure on education, annual rate of growth (%) Median Maximum Minimum 5.5 4.7 8.1 4.7 5.1 2.4 3.2 5.3 19.3 8.7 18.9 23.7 8.1 15.6 9.8 17.7 -7.3 0.4 2.1 -3.2 2.5 -8.0 -1.0 -4.0 4. The rates of growth described in this subsection measure changes in education expenditure and GNP expressed in 2004 constant US$. The use of constant prices removes the effects of inflation between 1999 and 2005. GNP, annual rate of growth (%) Median 4.0 4.5 7.5 4.5 4.5 2.7 2.4 4.7 Number of countries with data 24 6 6 11 5 18 18 12 Sources: Annex, Statistical Table 11; UIS database. 146
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