In a historic reform, school managements across Fiji will now have full control over how they spend their education grants, as the Government rolls out a $847 million allocation for the education sector in the 2025–2026 National Budget.
Announcing the major shift, Finance Minister Professor Biman Prasad said rigid spending caps on building maintenance, IT, and administration would be scrapped – giving schools the autonomy to allocate funds based on their actual needs.
“School management will have the full freedom to plan their spending, save funds, or even borrow against the grant for major investments,” Prof Prasad told Parliament.
The Ministry of Education receives $675 million, including $86.5 million for higher education institutions. An additional $153 million is provided for tertiary scholarships, which will support a record 24,653 students—13,060 of them new.
In a bid to modernise and decentralise decision-making, the free education grant of $65 million will now be fully flexible. Schools will no longer be restricted in how they use the funds, which previously allowed only 20% for building maintenance and 15% for IT.
“We are placing the trust in our school heads and leaders… because they are best positioned to respond to the needs that will drive better teaching and learning outcomes,” Prof Prasad said.
Other initiatives include first-time grants to school principals’ and head teachers’ associations, and new recruitment for more than 1,100 teachers.
“This budget puts power where it belongs – into the hands of those who are closest to our students,” Prof Prasad said.
