Colleges facing enrollment declines are borrowing from endowments, risking long-term stability
Nearly 200 private colleges borrowed from restricted endowment funds in 2025, up from about 130 in 2021, as enrollment declines strain budgets. Some schools, like Hiram College, have taken millions from endowments, even tapping donor-restricted funds. Experts warn this strategy carries long-term risks, including credit downgrades.
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The trend reflects a broader enrollment crisis gripping
Expanded detail and Context are AI-generated analysis; the linked article remains the authoritative source.
This summary is AI-generated and original to Mobble; the linked article is the authoritative source.
Original headline: “Cash-strapped colleges are draining their endowments to survive.” Browse more stories.