Privatisation of Education: Global Trends, Multiple Manifestations and Common Concerns

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This presentation provides an overview of the global trend towards privatisation in education, and an analysis of the many different drivers and models.

Education Economy & Finance Business

PRIVATISATION OF EDUCATION:
GLOBAL TRENDS, MULTIPLE
MANIFESTATIONS AND COMMON
CONCERNS
ANTONI VERGER

Education
Privatization
Pure
privatization
Public-private
mixes

PURE PRIVATIZATION:
LOW-FEE PRIVATE SCHOOLS
• “Private school that has been set up and is owned by an
individual or group of individuals for the purpose of making
profit, and are supposed to be ‘affordable’” (adapted from
Phillipson 2008)
• Countries: India, Pakistan, Kenya, Ghana, Nigeria, Malawi,
Perú
• Growing phenomenon: “In Punjab, Pakistan’s urban areas 67%
of students attend low-cost private schools. In Accra, Ghana it
is 64% and in Lagos, Nigeria it is 70%” (Pearson Inc)
• From an esponatenous to a celebrated and promoted
phenomenon.

WHO IS PROMOTING LOW-FEE
PRIVATE SCHOOLS?
Aid
Agencie
s
Int’l
organiza
tions
Internati
onal
Funds
Micro-
financing
initiative
s
Foundati
ons

REASONS
- “LFPSs are inherently better than governmental
schools”
- “They are affordable”
- “Provide with choice opportunities to the poor”
- “They are a cost-effective way to advance
education for all”
- “Teachers are more committed in LFPs”
- “Profit goals are compatible with more noble
goals like education for all”

From individual village entrepreneurs to international chains

WARNINGS & QUESTIONS
1. ‘Choice’ or lack of/inappropriate public education offer?
2. Are LFPs growing because the public sector does not recognize
sufficiently linguistic or religious minorities?
3. Are LFP schools really ‘affordable’ for the poor?
4. What happens to kids that cannot pay the daily fee?
5. Are LFP schools aggravating gender inequalities?
6. What its the quality/level of accountability and participation in
LFP schools?
7. What are the career prospects for teachers that are so badly
paid and not trained (“trained in-house”)?
8. Is profit-generation legitimate in education systems with scarce
resources?

THE CASE OF PUBLIC-PRIVATE
PARTNERSHIPS
•Contract between the public and the private
sector: public sector buys a service to the private
sector for a certain period of time at a certain price
(and according to results)
Objectives
•Cost-efficient way to provide ‘public’ education
•Promote competition between schools
•Promote innovation and diversification in the
education system

PPPS AS A ‘CONTINUUM’
Contracting out Charter
schools School
choice
& vouchers
• The
Netherland
s
• Belgium
• Spain
• Argentina
• US
• Colombia
• Chile
• UK

WARNINGS
• Choice is restricted by physical constrains and information
limitations
• To overcome information limitations, standardized
evaluations systems are created.
• Standardized evaluation conditions excessively teaching-
learning processes and contributes to standardization (not
diversification)
• Competition between schools provides incentives to
schools to choose the most favorable students > market
segmentation and segregation
• Addressing all these ‘market imperfections’ requires of
substantive public investment > Challenges the idea of
markets in education as a cost-efficient measure

Education
Privatization
Low-fee private
schools
PPPs

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Privatisation of Education: Global Trends, Multiple Manifestations and Common Concerns

1. PRIVATISATION OF EDUCATION: GLOBAL TRENDS, MULTIPLE MANIFESTATIONS AND COMMON CONCERNS ANTONI VERGER

2. Education Privatization Pure privatization Public-private mixes

3. PURE PRIVATIZATION: LOW-FEE PRIVATE SCHOOLS • “Private school that has been set up and is owned by an individual or group of individuals for the purpose of making profit, and are supposed to be ‘affordable’” (adapted from Phillipson 2008) • Countries: India, Pakistan, Kenya, Ghana, Nigeria, Malawi, Perú • Growing phenomenon: “In Punjab, Pakistan’s urban areas 67% of students attend low-cost private schools. In Accra, Ghana it is 64% and in Lagos, Nigeria it is 70%” (Pearson Inc) • From an esponatenous to a celebrated and promoted phenomenon.

4. WHO IS PROMOTING LOW-FEE PRIVATE SCHOOLS? Aid Agencie s Int’l organiza tions Internati onal Funds Micro- financing initiative s Foundati ons

5. REASONS - “LFPSs are inherently better than governmental schools” - “They are affordable” - “Provide with choice opportunities to the poor” - “They are a cost-effective way to advance education for all” - “Teachers are more committed in LFPs” - “Profit goals are compatible with more noble goals like education for all”

6. From individual village entrepreneurs to international chains

8. WARNINGS & QUESTIONS 1. ‘Choice’ or lack of/inappropriate public education offer? 2. Are LFPs growing because the public sector does not recognize sufficiently linguistic or religious minorities? 3. Are LFP schools really ‘affordable’ for the poor? 4. What happens to kids that cannot pay the daily fee? 5. Are LFP schools aggravating gender inequalities? 6. What its the quality/level of accountability and participation in LFP schools? 7. What are the career prospects for teachers that are so badly paid and not trained (“trained in-house”)? 8. Is profit-generation legitimate in education systems with scarce resources?

9. Education Privatization Pure privatization Public-private mixes

10. THE CASE OF PUBLIC-PRIVATE PARTNERSHIPS •Contract between the public and the private sector: public sector buys a service to the private sector for a certain period of time at a certain price (and according to results) Objectives •Cost-efficient way to provide ‘public’ education •Promote competition between schools •Promote innovation and diversification in the education system

11. PPPS AS A ‘CONTINUUM’ Contracting out Charter schools School choice & vouchers • The Netherland s • Belgium • Spain • Argentina • US • Colombia • Chile • UK

12.

13. PPP REPORTS

14. SCHOOL CHOICE AND VOUCHERS

15.

16. WARNINGS • Choice is restricted by physical constrains and information limitations • To overcome information limitations, standardized evaluations systems are created. • Standardized evaluation conditions excessively teaching- learning processes and contributes to standardization (not diversification) • Competition between schools provides incentives to schools to choose the most favorable students > market segmentation and segregation • Addressing all these ‘market imperfections’ requires of substantive public investment > Challenges the idea of markets in education as a cost-efficient measure

17. Education Privatization Low-fee private schools PPPs

Privatisation of Education: Global Trends, Multiple Manifestations and Common Concerns

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