After protracted negotiations over the past two years, the Ministry of Finance has agreed to inject NIS 700 million into the Hebrew University of Jerusalem over 10 years. The money will help the university cope with its deficit caused by its unallocated pension burden. As part of the agreement, to which the Council for Higher Education's Planning and Budget Committee is a party to, the Hebrew University is committed to a NIS 1.8 billion recovery program over the next decade.
The Hebrew University will cover its NIS 1.8 billion deficit by selling assets worth NIS 400 million and putting up guarantees and other resources worth NIS 600 million and the rest through management operations and costs savings. The Hebrew University will balance its budget through internal streamlining measures worth NIS 900 million (NIS 90 million per year) - reducing jobs and salary payments (NIS 26 million annually), overheads (NIS 15 million annually) and other income in the annual budget (NIS 49 million annually). Hebrew University's management is also committed to management streamlining.
In exchange for the government's money, the Hebrew University will also committing to meet national targets such as increasing the number of students studying high-tech disciplines by 70% over the next two years.
The Hebrew University is also committing to increase its intake of Arab and Ultra-Orthodox Jewish students - it will increase its number of Ultra-Orthodox students to 1,000 and 18% of its bachelor degree students will be Arabs and 12% of master degree students. The Hebrew University will also make efforts to take in overseas students to study in Jerusalem.
Published by Globes [online], Israel business news - www.globes-online.com - on February 28, 2018
© Copyright of Globes Publisher Itonut (1983) Ltd. 2018