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It is now believed that Higher education is central to economic growth and social development. Countries that neglect of financing higher education are countries that are deprived of skilled manpower such as doctors, teachers, professors, researchers, engineers and other skilled workers to manage their economies. Therefore, higher education improves the implementation of informed and sustainable development through: -Stimulation of critical thinking -Stimulation of new thinking and new ideas -Promotion of social values, norms, justice, equality, honesty and accountability. Private financing of Higher Education through distance learning programs is one of the educational avenues that if executed promotes learning opportunities not only for those who follow routine channel of education system but also those who, in one way or another, fail to follow the routine channel. This study examines the extent to which private financing of higher education via distance learning programs has been exploited in Tanzania.