Republic of Korea
and qualified. In practice, less efficient higher education institutions receive funding provided
they have a credible action plan for improving performance; otherwise, they are likely to close
down without government financing.
In France, 30 percent of state
funding is disbursed based on contracts signed between the government and the universities.
The contracts are drawn up based on negotiations between the Ministry of Education and the
individual university for a four-year period: in Finland, such contracts are for three years.
Approaches to Result-based Financing in Tertiary Education. World Bank, 2004.
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