Financial Highlights

The Aga Khan University is a private, not-for-profit university that promotes h​uman development through research, teaching and community service initiatives.AKU’s income and property are used only for the promotion of its objectives and no payments, directly or indirectly, are made by way of dividend or profit to any individual or institution. Independent firms of international repute audit the institution’s financial statements annually.

The University significantly subsidizes the cost of tuition. Tuition fees are set, on average, at one third of the actual cost. This means that, on average, every student receives a 67 per cent tuition fee subsidy. In 2014, the aggregate tuition fee subsidy provided by the University was US$ 21.1 million (2013: US$ 23.3 million). It is becoming increasingly challenging to provide high levels of subsidy given devaluating currencies and rising inflation in the countries where the University operates.

In addition, AKU offers a generous financial aid programme, supporting students with a demonstrated financial need with grant assistance and interest-free loans. To date, over US$ 26.9 million has been provided. In 2014, US$ 4.7 million was provided, including US$ 3.3 million in grants and US$ 1.4 million in interest-free loans. In 2013, US$ 2.6 million was provided, US$ 1.2 million in grants and US$ 1.4 million in interest-free loans.

The principle of access is equally important for the University Hospitals. Patients in need of treatment but unable to pay receive assistance through the Hospitals’ Patient Welfare Programmes. Since 1986, they have assisted over1.1 million patients, providing US$ 89.4 million in support, of which US$ 11.4 million was provided in 2014, an increase from US$ 9 million in 2013. In spite of challenging economic environments, the University continues to ensure access to world-class health services for those who cannot afford it. The University Hospital in Karachi also provides a significant subsidy on all general ward beds as well as the clinics at the Community Health Centre. The University Hospital in Nairobi offers many free clinics to those in need.

Consolidated Financial Performance

2014
(US$ in millions)

​2013
(US$ in millions)

Income

​Hospital Revenues

​291

​248

​Patient Welfare

​(11)

​(9)

​Tuition Fees

​10

​8

​Financial Aid – Grants to Students*

​(3)

​(1)

​Research Grants

​16

​15

​Programmatic Grants

​7

​7

​Donations

​17

​14

​Endowment Income

​10

​9

​Other Income

​37

​31

Total Income

374

322

​Operating Expenses

​Faculty and Staff

176​

151​

​Medical, Surgical and Other Supplies

​79

​69

​Other Operating Expenses

​77

​68

Total Operating Expenses

​332

​288

​Investment in Capital Equipment

​16

20​

​Investment in Facilities

​29

29​

​Total Expenditure

377​

337​

​Shortfall of Income over Expenditure

​(3)

​(15)

​Funding from the Chancellor, His Highness the Aga Khan

9​

10​

​Increase / (Decrease) in Reserve

​6

(5)​