1. REVOLVING FUND

Activities for increasing the revolving capital amount and taking all kinds of economic, commercial and administrative measures for planning, monitoring, auditing, coordinating and efficient operation of revolving capitals at various levels in MONE are ongoing. In 1983, the revolving capital enterprises that were present only in 423 schools and institutions under MONE have reached 1.092 in 1999. The benefits of revolving capital to education can be gathered under five main titles.

1.1. ITS BENEFIT TO EDUCATION-TRAINING

In schools under MONE, applicative education is realized at school on practice tasks, at facilities on vocational education, at training implementation and at revolving capital enterprises. Especially in smaller settlement areas, since the benefiting of students from vocational education at facilities or training implementation is limited, the importance of Revolving Capital Enterprises in such places increases.

1.2. ITS BENEFIT TO STUDENT

Some of the course participants and students educated at technical and vocational schools and institutions have their applicative education on working the orders taken through revolving capital enterprise. By this way, the students are provided with the chance to learn issues related to their occupation better and make their knowledge permanent. Furthermore, a fee is paid to the students for what they do. As a result, the student is both having professional experience and adopts to real professional environment in a shorter time as well as gaining the habit and satisfaction of earning money at school.

1.3. ITS BENEFIT TO TEACHER

The benefits of revolving capital to the teacher must be examined under two titles being economic and professional.

Economically; the teachers working at revolving capital tasks and cooperating the students’ work shall be paid overtime and production promotion fees. In a school with good working revolving capital, the teacher, manager and other personnel working at revolving capital shall receive an average gross additional fee of 160.000.000 TL (70.000.000 TL overtime, 90.000.000 TL profit share) per month.

Professionally; in a school with good working revolving capital, the teachers working at revolving capital shall have the opportunity to continuously improve themselves and to follow up the new production techniques and machinery technology. Furthermore, some of the teachers and managers have the chance to participate national and international fairs in order to follow up with innovations and changes sponsored by the revolving capital.

1.4. ITS BENEFIT TO SCHOOL

The urgent materials such as machinery, equipment, tools for schools that could not be provided by other sources are procured through payment of the cost from the revolving capital.

1.5. ITS BENEFIT TO MONE AND CONSEQUENTLY TO NATIONAL ECONOMY

The existing atelier capacity at schools, machinery park and technical human force potential is activated through revolving capital enterprises following the educational activities and contribution to production is realized. During this production, although the above mentioned benefits are attained; a small profit is made at the end and two-thirds of this profit is deposited in MONE’s “Apprenticeship, Extending and Improving Vocational and Technical Education Fund” at the end of the year.

Furthermore, the value added attained by using the existing possibilities also imply a benefit for national economy during the realization of the main target.

The Revolving Capital Enterprises;

• The turnover and profit movements in 1995-1999 fiscal year; 1995 fiscal year gross product (turnover) 3.6 trillion TL, total profit app. 0.6 trillion TL, 1999 fiscal year total gross product (turnover) 53.4 trillion TL, total profit app. 12.3 trillion TL.
• By 31.12.1999, from the revolving capital institutions under MONE; the biggest capital share belongs to schools under technical education for boys with 22.4 billion TL. Afterwards, schools under technical education for girls with 9.5 billion TL, schools under trade and tourism education with 6.2 billion TL, schools under apprenticeship and non-formal education with 5 billion TL, schools under education tools and equipment with1, 9 billion TL, schools directly connected to center with 4.6 billion TL and other institutions with 3.5 billion TL follow.

1.5.1. Draft Law on Revolving Capital Enterprises of Ministry of National Education

Most of the revolving capital enterprises in schools and institutions under MONE have been established and operate according to 6 different laws put into force in 1930’s. Laws enacted in 1930’s are not sufficient to answer the needs of today. Moreover, there are troubles in implementation since there are more than one law. The Law Draft on Revolving Capital Enterprises of Ministry of National Education prepared with this purpose and submitted to the Prime Ministry and presented to TGNA as a government draft has passed from the TGNA’s National Education, Culture, Youth and Sports Commission at the last week of July 1999, passed from Planning and Budget Commission in February 2000 and was taken in the agenda of General Assembly of TGNA. The law draft is expected to be legalized in this legislation period.

If the law draft is accepted, some of the significant innovations shall be;

• The 6 different laws most of which enacted in 1930’s shall be merged under a single law that shall answer the necessities of today.
• The total capital allocated to revolving capital enterprises shall increase from 52,5 billion to fifty trillion TL.
• Realization of applicative education in vocational and technical training on real works shall be promoted.
• Since a fee shall be paid to implementing students and course participants, the students and course participants shall have the chance to contribute the budget of their family even at school and shall gain the habit of earning money.
• Unification and efficiency in control and management shall be attained. Guidance and counseling services shall have a better structure.
• Since the opportunity to conduct business at home shall be provided to students and course participants out of schoolhouse enterprises model shall have a start.
• Since revolving capital profits shall be used in increasing capital there shall be no additional burden on the budget.
• Since the turnover and profits of revolving capital shall increase, more contribution to the Ministry and therefore National Product shall be reached.

GRAPH
Graph 36. MONE’s REVOLVING FUND ENTERPRISES

Graph 37. Profits and Turnovers of MONE’s Revolving Capital Enterprises

Source: MONE Department of Enterprises

Graph 38. Distribution of MONE’s Revolving Capital among Institutions

Source: MONE Department of Enterprises

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Ministry Of National Education
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