Islamabad, Aug 6, 2025: In a crucial move to protect higher education, the federal government has approved a Rs. 2 billion bailout package for Quaid-e-Azam University (QAU)—widely recognized as Pakistan’s top university. This emergency funding aims to address the institution’s deepening financial crisis, which has disrupted academic operations and delayed salaries.
The decision came during a recent Economic Coordination Committee (ECC) meeting, chaired by Finance Minister Muhammad Aurangzeb. The committee acknowledged the urgency of QAU’s situation but made the bailout conditional. The university must now collaborate with the Higher Education Commission (HEC) to draft a long-term financial sustainability plan. The government emphasized that repeated bailouts are not a viable solution.
Over the past year, QAU has faced mounting financial pressure, with serious consequences for faculty, students, and research output. Salary delays, a halt in laboratory supplies, and unpaid pensions have pushed the university into a critical state. Internal reports confirm that no funds were released for the current fiscal year, although the university had requested Rs. 2.5 billion.
Faculty and staff, represented by the Joint Coordination Council (JCC) and other employee associations, have voiced growing frustration. In repeated appeals to the government, they stressed that operational funding has remained stagnant since 2018, even as inflation and running costs soared. With June salaries unpaid, July wages in limbo, and pension reserves reportedly depleted, staff have warned of potential protests.
QAU’s administration has called for swift action, urging the Prime Minister to protect educational institutions and prioritize funding. Failure to act, they warned, could undermine Pakistan’s academic future.
Despite its financial woes, QAU continues to uphold academic excellence. It was ranked 137th in Asia by Times Higher Education (THE) in 2025, maintaining its spot as Pakistan’s number one university. It also remains the nation’s top-ranked institution in the QS World University Rankings.
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The government’s bailout may offer temporary relief, but the real test lies in QAU’s ability to develop a self-sustaining model that secures its long-term stability without recurring state assistance.
