Budgetary Control And Financial Performance In Public Institutions Of Higher Learning In Western Kenya

Abstract

The objective of the study is to establish effect of budgetary control on financial performance of public institutions of higher learning. This study was conducted in institutions of higher learning in Vihiga, Kakamega, Bungoma, and Busia Counties. Finance Officers, Accountants, Bursars and principals were the respondents. Descriptive survey design was used in the study. The target population was 109. The questionnaire return rate was 91.7 %. Data was analyzed and presented using regression analysis. The study attained a Cronbach’s Alpha of coefficient was 0.863 for all items, which was way above the recommended 0.7 in social sciences. the study established that budgetary control had a statistically significant effect on financial performance in public institutions of higher learning.This study will be significant to public institutions of higher learning in providing a basis for policy, and in showing direction for management of these institutions, management in providing explanation to the government for the current financial scenario, researchers and academicians. Public institutions of higher learning management may use the findings of the study in designing proper budgetary policies and examining the financial performance. Academicians will also find the study useful in adding to the existing literature on budgetary control and financial performance.