Headteachers' financial management strategies and management of budgetary deficits in selected secondary schools in Kisoro District

Abstract

This study established the influence of headteachers’ financial management strategies on management of budgetary deficits in government aided secondary schools in Kisoro District. Specifically, headteachers’ financial management strategies explored were: school income sources, headteachers’ utilisation and accountability of funds and their influence on the management of government aided secondary schools in Kisoro district. A cross-sectional survey utilizing quantitative data was adopted and 126 stakeholders were contacted using questionnaires from 13 government aided secondary schools in Kisoro District. These stakeholders included: School headteachers, deputy headteachers, bursars, representatives on Finance Management Committee and Board of Governors of each selected school. Descriptive and inferential statistics were used to analyse data. Results revealed a significant relationship between headteachers’ diversification of sources of funds, proper utilisation, and accountability of school funds and managing school budget deficits. Headteachers’ financial accountability had a higher influence in managing school budget deficits compared with effective budget utilisation and headteachers’ ability to source income from diversified avenues to manage budget deficits. Overall, headteachers’ financial management strategies contributed about 10 percent in managing budget deficits in government aided secondary schools in Kisoro District. Conclusively, the study noted that headteachers’ financial management strategies being used in Kisoro District contributed less towards management of budget deficits in schools. Nonetheless, when well undertaken, these financial management strategies, among other factors, could minimize budget deficits in government aided secondary schools. Therefore, headteachers need to inculcate a spirit of inclusive decision making in managing financial resources, raising income and providing accountability for all resources in their schools. The Ministry of Education and Sports should also increase in capitation grants, extended to secondary schools. Further study should be done on influence of financial management strategies on management of deficits school budgets in private secondary schools in Kisoro District.