Show me the Money!: How much have leading Chinese universities got to play with in 2016/17?

This month, the Times Higher Education reputation rankings revealed 18 Asian universities have made the top 100.  Amongst these 18, 5 Chinese institutions now rank in the top 100:

Tsinghua University(21)
Peking University (21)
Fudan University (71-80)
Shanghai Jiaotong University (71-80)
Zhejiang University (81-90)

Every year, the relentless climb of leading elite institutions from China leads to a chorus, speculating both positively and negatively on the rise of China as a global HE superpower.  The logic is fairly straightforward: if trends continue, it won't be long before the rankings are dominated by Chinese institutions.

However, recent information released in China reveals significant differences in projected incomes for the 71 key national universities under the direct jurisdiction of the Ministry of Education.

For 2016, these 71 universities expect receive RMB307.5bn (US$47.31bn or £32.75bn). This equates to an average of RMB4.33bn per institution (US$666m or £461m).

However, the incomes vary significantly.  Tsinghua University leads the way with an expected income of RMB18.22bn (US$2.8bn or £1.94bn).  At the other end, if we exclude the Central Academy of Drama and the Central Conservatory of Music, the lowest income is that of Shanghai International Studies University (SISU) at a meagre RMB900m (US$138.46m or £95.84m).

To give some figures for comparison at leading universities in the US, UK (all figures from public financial statements released for year to June/July 2015):

Harvard University (ranked no.1 in the recent Times Higher Reputation rankings) reported income in 2015 of US$4.53bn (RMB29.42bn).

The University of Oxford (ranked 5th) reported income of £1.43bn (RMB13.42bn).

If we look at other reputable world ranked universities from the US, UK closer to Tsinghua (18) and PKU (21) rankings:

Cornell (ranked 17th) reported income of US$3.51bn (RMB22.84bn)

UCL (ranked 20th) reported income of £1.18bn (RMB11.06bn)


Full Listing: Projected Income 2016 for 71 Key Universities under MoE Jurisdiction.

Rank	University	C9	985	2016 Projected (RMB Bn)
1	Tsinghua University	Ÿx	Ÿx	18.217
2	Zhejiang University	xŸ	Ÿx	15.428
3	Peking University	xŸ	xŸ	15.311
4	Shanghai Jiaotong University	Ÿx	xŸ	11.803
5	Fudan University	Ÿx	xŸ	7.88
6	Wuhan University		Ÿx	7.823
7	Shandong University		Ÿx	7.728
8	Sun Yat-sen University		Ÿx	7.396
9	Huazhong University of Science and Technology		Ÿx	7.047
10	Tianjin University		Ÿx	7.031
11	Sichuan University		Ÿx	6.325
12	Tongji University		Ÿx	6.007
13	Nanjing University	Ÿx	xŸ	5.702
14	Xi'an Jiaotong University	Ÿx	xŸ	5.637
15	Xiamen University		Ÿx	5.579
16	Beijing Normal University		Ÿx	5.367
17	Jilin University		Ÿx	5.219
18	Nankai University		Ÿx	5.181
19	South China University of Technology		Ÿx	5.179
20	Southeast University		Ÿx	5.12
21	Central South University		Ÿx	5.012
22	Dalian University of Technology		Ÿx	4.502
23	Renmin University		Ÿx	4.355
24	East China Normal University		Ÿx	4.235
25	Wuhan University of Technology			4.151
26	Northeast University		Ÿx	4.054
27	Chongqing University		Ÿx	3.96
28	University of Electronic Science and Technology		xŸ	3.771
29	Beijing Jiaotong University			3.707
30	China University of Geosciences (Wuhan)			3.462
31	China University of Mining and Technology (Huadong)			3.346
32	China University of Petroleum (East China)			3.311
33	Beijing University of Technology		xŸ	3.3
34	China University of Petroleum (Beijing)			3.267
35	Lanzhou University		Ÿx	3.243
36	Southwest University			3.239
37	Hunan University		Ÿx	3.203
38	Southwest Jiaotong University			3.064
39	Beijing University of Chemical Technology			3.007
40	Northwest Agricultural and Forestry University		Ÿx	2.973
41	Hehai University			2.888
42	Xidian University			2.828
43	Nanjing Agricultural University			2.746
44	Central China Agricultural University			2.705
45	North China Electric Power University			2.7
46	Hefei University of Technology			2.663
47	Chang'an University			2.653
48	China Ocean University			2.474
49	Central China Normal University			2.445
50	Jiangnan University			2.322
51	Beijing University of Post and Telecoms			2.255
52	Northeast Normal University			2.236
53	China University of Geosciences (Beijing)			2.085
54	Zhongnan Universiy of Economics and Law			2.016
55	Donghua University			19.58
56	Shaanxi Normal University			1.741
57	University of International Business and Economics			1.607
58	Beijing Forestry University			1.567
59	Northeast Forestry University			1.484
60	Beijing University of Chinese Medicine			1.452
61	China Pharmaceutical University			1.412
62	Shanghai University of Finance and Economics			1.316
63	China University of Mining and Technology (Beijing)			1.231
64	Communication University of China			1.192
65	Central University of Finance and Economics			1.136
66	Beijing Foreign Studies University			1.018
67	Beijing Language and Culture University			1.015
68	China University of Politics and Law			0.991
69	Shanghai International Studies University			0.902
70	Central Conservatory of Music			0.42
71	Central Academy of Drama			0.305
TOTAL FUNDING for MoE 71 Institutions				307.527

(Source: Ministry of Education 2016)

In all cases, expenditure at the US/UK universities listed above accounts for at least 95% of income in 2015.  Figures (not published here) show similar income/expenditure patterns for all Chinese universities in 2015, so it is expected that these universities will spend the overwhelming majority (95%+) of these project 2016 incomes.

C9, 985 and 211
Chinese universities which emphasise science and technology demonstrate much greater projected incomes than those, such as SISU Beijing Foreign Studies University and others with an emphasis on humanities, liberal arts and social sciences.

These 71 universities are all members of Project 211, while there are 31 universities also categorised under Project 985 (the remaining 8 members of Project 985 are under the jurisdiction of other Ministries).  Similarly, there are 7 of the 9 members of the elite C9 Group.

However, the C9 universities take the top 5, with Nanjing (13th) and Xi'an Jiaotong (14th) pushed further down the rankings by several other big hitters from the 985 group.  Perhaps even more surprisingly, only one of these (Tongji) is from the education powerhouse of Shanghai, with none from Beijing.  Universities from Hebei, Shandong, Guangdong, Tianjin and Sichuan occupy positions 6th-11th, with Tongji in 12th spot.

Further down the table, we also see some of the Project 211 universities (or more correctly non-985 universities) shaking things up.  Wuhan University of Technology places 26th in terms of income, knocking several 985 universities down.  Other prominent non 985 universities include Beijing Jiaotong University; China University of Geosciences (Wuhan, Hubei); China University of Mining and Technology (Xuzhou, Jiangsu) and China University of Petroleum (Qingdao, Shandong and Beijing Campuses).

Wuhan appears to be emerging as an inland educational powerhouse after Beijing and Shanghai, and is undoubtedly the most prominent city in terms of development and growth.  In addition to the several universities listed here, Wuhan has a strong provincial education infrastructure with strengths in several important areas, all concentrated in area where Wuchang district borders with Hongshan district in southeastern Wuhan.  Certainly, this table shows that Wuhan's prominent universities are punching above their weight.

Of course, simple comparisons of income levels don't really tell us that much, without taking into account other factors (location is important for attracting students; province with regards to difficulty of entry; region in terms of how far that income goes).  So we can certainly see that Fudan is falling behind the leading 4 in terms of income, but considering the expense of being located in Shanghai, would have to argue does better with its income that Wuhan, Shandong, Sun Yat'sen, Huazhong Keji and Tianjin (6th - 10th, within RMB7-8bn budget).  That beings said, Fudan is more attractive to talented academics precisely because it is in Shanghai.

It remains to be seen whether the trend of Chinese universities rocketing up the world rankings of THE, QS and Jiaotong's ARWU can be maintained.  Given the disparity between Key National Universities (71 listed here, but China has over 2200 HEI's with well over 1000 delivering HE at the 4yr degree level and above), I expect that while Tsinghua, PKU will become the leading lights, and SJTU, Zhejiang and Fudan will also gain global recognition, its going to be sometime before the likes of Nankai, Shandong, Tianjin, Wuhan and Huakeda become well known beyond China's borders and especially as global brands outside the academic sphere.