While Asia is a model for fast growth, low- and middle-income countries in the region still face the problems of maintaining growth and improving income. Tertiary education plays an important role in attaining these targets because it provides the necessary skills and research to apply new technologies. Therefore, tertiary education can become a driver of growth. Solid financing is of crucial importance for a well-functioning education system, but low and middle-income education systems in Southeast Asia have not achieved high results yet. Public financing will still go to education institutions whether or not they address public goods such as externalities, research or equity concerns. At the same time, public funding in education can address the disconnects. The paper will give a general overview of financing needs, followed by overview of funding strategies that emphasize on the role and efficiency of public financing and strategies to attract additional resources.