Performance-based funding: EUA expertise supports dialogue on higher education reform in Slovenia

The European University Association contributed throughout the process, alongside the country’s public universities, students, peer-country representatives and other international experts. The discussions focused on how Slovenia can further develop its funding model while balancing system-level priorities with institutional autonomy and diversity.

EUA brought in evidence from its long-standing work on public funding allocation and dialogue-based funding approaches across Europe. This included the importance of stable and predictable core funding, clear purposes for different funding instruments, proportionate use of performance-based elements and avoiding unnecessary complexity and administrative burden.

The process also highlighted the importance of dialogue itself. Comparative examples from different European systems showed how performance agreements can work best when they are linked to institutional strategies, focused on a limited number of objectives and used as a basis for exchange rather than compliance.

Several of these principles are reflected in the report’s recommendations, including stronger strategic dialogue between the Ministry and universities, simpler funding processes and the use of labour market intelligence as evidence to inform decisions rather than as a mechanical basis for allocating funding or study places.

Reflecting on the process, Thomas Estermann, Director of Governance, Funding and Public Policy Development at EUA, noted that:

“It is always rewarding to see how long-term comparative work and policy dialogue can feed into concrete system reform. The outcomes of this process illustrate the value of peer exchange, comparative evidence and the direct involvement of universities in shaping higher education reform. Bringing together perspectives from different systems can help strengthen policy design, while ensuring that reforms remain sensitive to universities’ daily realities and the national environments they operate in.”