The Georgian government has approved a new funding model for state universities, with the changes set to be introduced gradually from the 2026-2027 academic year.
The Ministry of Education, Science and Youth says the model, developed in cooperation with the World Bank, is based on two main components: basic funding and performance-based funding.
Under the new system, basic funding will be calculated according to the cost of academic programs across different fields of study and higher education levels, including bachelor’s and master’s degrees. The number of students enrolled at each university will also be taken into account to cover the core costs of education and student services.
The ministry says a performance-based funding component will be introduced gradually. Funding will be linked to universities’ progress in meeting state priorities, including improving education quality and labor market relevance, strengthening research, development and innovation, expanding international cooperation, supporting regional development, and increasing access to higher education.
The ministry says contractual funding conditions will be determined individually for each state university, taking into account its mission, objectives, academic profile and available resources.
Officials say the new model is intended to encourage universities to improve educational quality while contributing to national development goals. The ministry adds that the reform is expected to support the creation of relevant academic programs, improve teaching standards, and provide competitive salaries and better working conditions for academic, administrative and support staff.
The government will allocate an additional GEL 42 million for the first stage of the reform, increasing total state funding for higher education to GEL 170 million in 2027.
The ministry says the funding model was developed over several years with the World Bank as part of the Innovation, Inclusion and Quality – Georgia I2Q project, drawing on international experience, expert input and an assessment of Georgia’s higher education system.
