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Diagnostic Assessment of Higher Education in Business and Economics Studies in Egypt

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Diagnostic Assessment of Higher Education in Business and Economics Studies in Egypt DIAGNOSTIC ASSESSMENT OF HIGHER EDUCATION IN BUSINESS AND ECONOMICS STUDIES IN EGYPT April 20, 2006 This publication was produced for review by the United States Agency for International Development. It was prepared by TAPR II Component F: Demir Yener and Anthony Lanyi DIAGNOSTIC ASSESSMENT OF HIGHER EDUCATION IN BUSINESS AND ECONOMICS STUDIES IN EGYPT: TAKING STOCK TECHNICAL ASSISTANCE FOR POLICY REFORM II CONTRACT NUMBER: 263-C-00-05-00063-00 BEARINGPOINT, INC. USAID/EGYPT POLICY AND PRIVATE SECTOR OFFICE APRIL 20, 2006 AUTHORS: TAPR II COMPONENT F: Demir Yener and Anthony Lanyi SO 16 DISCLAIMER: The author’s views expressed in this publication do not necessarily reflect the views of the United States Agency for International Development or the United States Government. CONTENTS Abstract Abstract ..................................................................................................................iii EXECUTIVE SUMMARY ....................................................................................... 1 i. INTRODUCTION........................................................................ 1 ii. BACKGROUNDS ....................................................................... 1 iii. THE EGYPTIAN UNIVERSITY SYSTEM .................................. 1 iv. HIGHER EDUCATION IN BUSINESS AND ECONOMICS ............................................................................. 2 v. CONCLUSIONS ......................................................................... 4 vi. OPPORTUNITIES FOR INTERVENTIONS............................... 5 I. INTRODUCTION................................................................................................. 7 1. Aims of TAPR II Component F Human Reources ................................ 7 2. Aims of this STUDY .............................................................................. 7 3. Organization.......................................................................................... 8 4. Methodology ......................................................................................... 8 II. BACKGROUNDS FACTORS............................................................................. 8 1. Economic background .......................................................................... 8 2. Need for qualified personnel in the private sector ................................ 9 3. the demand in the public sector.......................................................... 10 4. Demand in the Government of Egypt ................................................. 12 5. Demand in the private sector.............................................................. 12 6. Is there really a shortage of highly trained executives and ECONOMISTS. ................................................................. 13 III. THE EGYPTIAN UNIVERSITY SYSTEM ....................................................... 13 1. Governance Structure of the public Universities................................. 16 2. the University System resources ........................................................ 16 3. Financing Higher Education in Egypt.................................................. 17 4. Public Universities............................................................................... 19 5. Private Universities ............................................................................. 22 6. Faculty quality, compensation, and recruitment. ................................ 26 7. Higher education reform initiatives ..................................................... 28 IV. HIGHER EDUCATION IN BUSINESS AND ECONOMICS ........................... 30 1. Professional environment for business education .............................. 30 2. Professional environment for Economics education........................... 34 3. existing Business and Economics education programs .................... 38 4. Public Institutions of Higher Education ............................................... 38 5. Private Institutions of Higher Education.............................................. 40 6. Institutes.............................................................................................. 42 V. CONCLUSIONS: ...................................................................................... 43 TECHNICAL ASSISTANCE FOR POLICY REFORM II i VI. OPPORTUNITIES FOR ENHANCING QUALITY .................................... 46 1. Enhancing existing academic programs:............................................ 47 2. Strengthening the professional environment: ..................................... 49 3. Supporting reform process in the higher education:........................... 49 APPENDIX ............................................................................................................ I REFERENCES........................................................................................................ i LIST OF INTERVIEWEES ......................................................................................ii TABLES ................................................................................................................. v EXHIBITS...............................................................................................................vi TECHNICAL ASSISTANCE FOR POLICY REFORM II ii DIAGNOSTIC ASSESSMENT OF HIGHER EDUCATION IN BUSINESS AND ECONOMICS STUDIES IN EGYPT: Taking Stock ABSTRACT Egyptian higher education sector is currently undergoing a rapid transformation. The problems faced by the Egyptian public institutions of higher learning have been a concern for policy makers and the business and public sector community alike due to the decline in the quality of educational services delivered. The government response was to approve the formation of new private institutions of higher learning, while little has been done in the way of fundamental reform to improve the environment and conditions at the public institutions of higher education. These developments have an important bearing on business and economics education, which the government authorities and the business community views with concern. This concern and the lack of information about the current status of higher education in these fields have motivated a diagnostic assessment of the sector. The aim of this study is to examine the Egyptian higher education institutions conferring degrees in business and economics and to offer options for USAID intervention. The ultimate outcome of the study may be the design of USAID technical assistance programs in support of graduate education in business and economics that respond to the Egyptian job market demand. These efforts will help form the individual skills and institutional capacity of Egyptian academicians in promoting critical thinking of students by teaching effectively and conducting internationally publishable research in leadership and business management and economic analysis. Thus, the study looks into both the general environment of the business and economics education at public and private Egyptian higher education institutions. During the course of this study, many Egyptian institutions of higher education were visited, and data that were otherwise not available from a simple web search were collected, and tabulated in a standard form. Attempt was made to collect all available data for the 13 public and 17 private universities where business and economics programs are offered. A compendium of data for 16 public and private institutions of higher education are provided as exhibits. The assessment paper reviews this information and views obtained from other documentation and interviews offers evaluative observations with recommendations for USAID intervention. TAPRII will continue to update this information over time. TECHNICAL ASSISTANCE FOR POLICY REFORM II iii EXECUTIVE SUMMARY I. INTRODUCTION The business, economics and legal education component of the USAID/Egypt TAPR-II (Technical Assistance for Policy Reform) project is aimed at improving the capacity of the Egyptian business community, and the Government of Egypt (GOE), to manage an increasingly market-oriented, privatized and globally integrated. The aim of this diagnostic assessment paper is to review what is known about the quantity, quality, and modalities of business and economics higher education and training in Egypt, in order to lead to defining opportunities for private, public and donor initiatives that will enhance the quality of business and economics education and training. The paper is based on the review of existing studies, interviews with selected stakeholders at universities, private sector, and government, and available statistical data. Assessments will be based on comparisons with the generally accepted practices of U.S. and European standards of business and economics education. II. BACKGROUNDS Market-oriented economic reforms since the early 1990s have intensified Egypt’s need for entrepreneurs equipped to compete in global markets, lawyers trained in modern commercial law, and government officials able to apply modern economic analysis in the formation and implementation of policies affecting markets. However, while GOE and business leaders perceive needs for more highly qualified staff, they are dissatisfied with the graduates of Egyptian universities—whose education has not equipped them to take on real- world challenges—but are at the same time unwilling to pay globally competitive salaries to those with world-class university degrees. The result is that Egyptian universities have
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