The Financing of Tertiary Education in the Czech Republic and the Federal Republic of Germany

ŠPAČKOVÁ, Veronika

It is generally recognised that education systems play a fundamental role in our societies and economies. They provide populations with access to knowledge and the opportunity to develop competences and skills. These are important for the well-being of individuals, the good functioning of societies and economic growth. Despite the fact that Federal Republic of Germany and Czech Republic are neighbouring countries and both are members of European Union, each has a different educational system and different system of university financing. The aim of this master thesis is to determine the main differences in financing of education in the Czech Republic and Federal Republic of Germany with a focus on tertiary education and also to propose a suggestion that would lead to the improvement of the tertiary education financing system of the Czech Republic. In the Czech Republic public universities receive funds from the state budget towards their running and capital costs. Higher education institutions receive a financial contribution based on the number of students and graduates, the economic costliness of the relevant study programme and certain quality and performance indicators. The Ministry of Education, Youth and Sports is also used to finance public universities through project grants. Part of the budget is allocated to schools on the basis of qualitative criteria. In Germany the public financing arrangements for the education system are the result of decision making processes in the political and administrative system in which the various forms of public spending on education are apportioned between Federation, states (Länder) and local authorities (Kommunen) and according to education policy and objective requirements.

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