FINANCIAL MANAGEMENT PRACTICES AND CHALLENGES IN SECONDARY SCHOOLS OF BORENA ZONE, OROMIA REGIONAL STATE

Abstract

Problems financial management in Borena zone secondary Schools are many. As number of new secondary schools built over the past few years, the trend of financial management looks quite problematic and should not be overlooked. The purpose of this study was to assess the practices and challenges of financial management in secondary Schools of Borena zone. This study incorporated qualitative and quantitative data so as to adequately touch the challenges of financial management and its practices in secondary school of Borena Zone. To this end, descriptive survey research method which is helpful in acquiring relevant and precise information has been employed. Sources of data for this study included 11 principals, 11 vice principals, 8 supervisors. As well as PTAs, financial experts from WoFED and WoE from 7 Woredas. Stratified sampling was employed to divide the zone in to two, out of which 7 sample Woredas were taken by lottery method. School leaders, WoE and WoFED experts were taken by available sampling while PTAs were purposively taken. Finding of this study revealed that the problems of financial management such as lack proper financial recording, disproportionate allocation, lack of school leaders’ knowledge, absence of transfer of some decision making power, misappropriation and abuse of finance, weak community participation and corruption are phenomena in secondary schools. Thus, above problems have been challenging and affecting the effective financial management of Schools and entire education activities. Therefore, for the improvement of the problem it is recommended that there should be awareness creation over criteria for allocating budgets, Schools should be enabled to participate in financial decision making, there should be capacity building and empowerment by practical on job trainings, collaboration of school with districts to raise community participation, devolution of financial management to school levels, conduct auditing regularly, and reinforcement of consistent mechanism of support, follow up so as to minimize problems of financial management in secondary Schools.