KARACHI: Sindh Minister for Universities and Boards Ismail Rahoo on Tuesday announced that the government was considering a bailout package for the University of Karachi (KU).

He said this while speaking at the 23rd meeting of the KU Senate held at the Chinese Teachers Memorial Auditorium.

The meeting, chaired by the minister, unanimously approved the annual statement for 2023-24, the revised budget for 2024-25 and the proposed budget for the financial year 2025-26, said a KU press release issued after the meeting.

At the meeting, KU Vice Chancellor Dr Khalid Mahmood Iraqi said that rapid inflation, salary and pension hikes by the government and insufficient funding had placed the KU and many other universities across the country under immense financial stress.

Minister Rahoo acknowledged the issue and observed that being the largest university in the province with the highest student enrolment, the KU faced significant administrative and financial challenges.

Senate meeting approves annual financial statements statutes for endowment funds

The minister said that the provincial government was considering a bailout for the KU as major challenges could only be overcome through collective action and cooperation.

He mentioned that the government had been consistently increasing grants for universities, recognising that rising inflation, salary increments and pension obligations had intensified financial pressures.

He assured that the issues highlighted in the meeting would be resolved gradually.

“Sindh’s policy is not limited to expanding the number of universities but is focused on ensuring high-quality education. This goal can only be achieved by financially strengthening universities and equipping them with adequate resources for research, teaching, and infrastructure development,” he added.

Earlier, VC Iraqi highlighted that despite severe financial constraints, the KU’s academic and research performance has steadily improved, with its international ranking rising and the number of research journals increasing.

He assured that the KU’s administration, despite limited resources, is striving to provide the best possible academic, research, and welfare facilities to faculty, students and staff.

He added that online facilities for students had been expanded, new construction projects were underway, transport services being improved, sports activities being promoted, and healthcare facilities on campus were being enhanced.

He said that through the selection board, 66 professors and 71 associate professors had been appointed permanently on merit across various faculties, departments, and centres, strengthening the KU’s academic standards.

The Senate approved the statutes for the KU endowment fund and the KU pension endowment fund.

Director Finance Syed Jahanzeb informed the meeting that these statutes aimed to manage the university’s financial resources effectively, transparently and sustainably, ensuring stronger support for academic, research, welfare activities and pension-related matters of employees.

The meeting was also attended by Universities and Boards Secretary Abbas Baloch, members of the syndicate, deans, chairpersons and faculty.

Published in Dawn, December 24th, 2025