Strengthening and Expanding Government Assistance for Private Education

The report assesses two Department of Education (DepEd) student financial assistance schemes under the Government Assistance to Students and Teachers in Private Education (GASTPE) program. These schemes are the Educational Service Contracting (ESC) and the Senior High School Voucher (SHSV) schemes. Through these initiatives, DepEd pays tuition fees for eligible students enrolling in qualified private schools of their choice. The study aims to answer the following questions: Are the programs on track to achieve their objectives? What key challenges and adjustments need to be made for the programs to reach their goals? What can be done to enhance the programs’ ability to cost-effectively, equitably, and sustainably promote the private sector's contribution to national education objectives? The study examines these questions and, in that context, analyzes the following specific concerns: (i) the adequacy of the financial assistance provided to target beneficiaries and the methodology for rationally setting the programs’ subsidy value; (ii) the inclusion of disadvantaged children and the methodology for targeting and prioritizing them; and (iii) the need to adjust program objectives and implementation design. Using a mix of qualitative and quantitative methods, the report concludes that the logic of the programs is sound and that there is evidence to support the hypothesis that, in the Philippines, it is cost-effective to use private schools to help the government achieve its national education goals. However, there are significant design, implementation, and governance challenges that need to be thoughtfully addressed as part of the Philippine Development Plan (PDP) 2023-2028's call for strengthening and expanding private sector participation in education. Hence, the report suggests some ideas in this regard. Comments to this paper are welcome within 60 days from the date of posting. Email publications@mail.pids.gov.ph