Relationship between Education Financing and Human Capital Investment: a survey of Public secondary schools in Kimilili-Bungoma Sub-County

The purpose of this study was to investigate the relationship between Education financing and human capital investment in Kimilili-Bungoma sub-County. The objectives of the study were: To establish the performance of students who got public financing; to establish the performance of students who got private financing; to establish the performance of students who got religious financing; to establish the challenges to financing education on human capital investment. The study was guided by the Human Capital theory. The study focused on the financing options available for human capital investment. The secondary school level of education was studied as it has been discovered that middle level countries benefit most from this level as it is mainly knowledge base which is a requirement for attainment of skills at a higher level. Kenya hopes to become a middle level country by the year 2030. Improving the quality and access to secondary education would be a pre-requisite to achieving this objective. The descriptive survey design was adopted, which enabled the researcher collect data from a wider area in a short time. The study population constituted 20 secondary schools. All the 20 secondary schools were studied because the number was small and manageable. Questionnaires were used to collect data which was analyzed descriptively using measures of central tendencies. Correlation analysis was used to determine the relationship between education financing and human capital investment. Analyzed data was presented in form of frequency diagrams and tables. The study revealed that private funding had the highest contribution to human capital investment in secondary schools compared to other forms of funding. The study also revealed that voluntary organizations contributed the least to human capital investment and their contribution was largely inadequate and lacking altogether in some schools. The study recommended that the government should continue to support secondary education through timely remittance of funds and employment of teachers to realize increased human capital investment.