"Over 20 Private Universities Have Reserve Funds Exceeding 100 Billion Won... Need to Actively Use Them to Solve Problems"
[Asia Economy Reporter Yoo Byung-don] Deputy Prime Minister and Minister of Education Yoo Eun-hye expressed regret regarding the scale of the emergency support budget allocated to universities undertaking tuition refunds.
On the 7th, appearing on a radio program, Deputy Prime Minister Yoo said about the scale of the "Emergency Support for University Non-Face-to-Face Education" project, "I hoped to consider the financial difficulties of universities and the hardships of students, but it is also true that there are practical difficulties," adding, "Universities with reserves exceeding 100 billion KRW should actively use those funds to help solve the problem."
The third supplementary budget passed by the National Assembly on the 3rd included a budget of 100 billion KRW under the name of emergency support for university non-face-to-face education.
The Ministry of Education's goal for this project is to support universities facing financial difficulties due to the COVID-19 pandemic by assisting with online classes, quarantine, and improving the educational environment. However, in practice, it is a project that indirectly supports universities responding to students' demands for tuition refunds.
The budget size is about one-third of the 271.8 billion KRW requested by the National Assembly's Education Committee.
Deputy Prime Minister Yoo explained, "It would be good to secure sufficient budget, but it would have been difficult to fully support all sectors financially," adding, "Although resources are limited, we try to reflect more support for universities that make greater self-help efforts."
According to Deputy Prime Minister Yoo, the Ministry of Education's current assessment shows that more than half of universities are currently negotiating with students regarding tuition refunds.
Regarding the principle of tuition refunds, he reiterated the existing stance, saying, "It is not desirable for the government to directly support students with tuition issues using government funds," and "Tuition issues should be resolved by universities preparing practical self-help measures, and universities should actively negotiate with students."
He also emphasized that private universities with substantial reserves should utilize those reserves to resolve tuition refund issues.
He said, "About 20 private universities have reserves exceeding 100 billion KRW," adding, "Each university claims that these funds are reserved for future university operations and is reluctant to use them, but in this disastrous situation caused by COVID-19, private universities with reserves exceeding 100 billion KRW should be allowed to use those funds to help solve the problem."
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