Tuition will increase next year to $33, 110, a 2.9 percent rise, Harvard announced yesterday. But the percentage increase is the smallest since 1968, even smaller than last year's 3.3 percent increase.

This is the ninth consecutive year in which the rate of increase has declined. The rate of increase is still higher than the rate of inflation over the last year--which has stood at 2.4 percent. In the last 20 years, the average rate of increase for Harvard's tuition has been close to 8 percent.

Dean of the Faculty of Arts and Sciences (FAS) Jeremy R. Knowles said in a press release that Harvard, which has a $14.4 billion endowment, strives to maintain affordability for all of its students.

According to the press release, "Harvard continues to devote major institutional funds to undergraduate financial aid--more than $52 million in direct grants in 1999-2000--so that a Harvard College education remains affordable for students from every socio-economic background."

Harvard maintains a "need-blind" admissions process in which ability to pay is not considered during the application process. Harvard also pledges to meet the demonstrated financial needs of all admitted students.

More than two-thirds of students at Harvard receive financial aid, according to the press release.

Assistant Dean of Admissions and Financial Aid Marlyn McGrath Lewis '70-'73 reiterated Harvard's commitment to help students pay for their education yesterday.

"Harvard assesses each student's ability to pay and then meets their need 100 percent. That is the policy of our need-based financial system," she said.

Even with consistent tuition increases, the number of applications to Harvard continues to rise. Harvard received 18,687 applications for the Class of 2004, more than any prior class.

In September 1998, Knowles announced a one-time $9 million dollar increase in the financial aid budget, which resulted in an additional $2,000 for each student receiving financial aid.

The University's recently completed $2.6 billion Capital Campaign has also added funds to financial aid coffers.

"The success of the recently concluded University Campaign has allowed Harvard to contain tuition increases and to continue its policies of need-blind admissions and need-based financial aid," according to the release.

According to the Chronicle of Higher Education, tuition charges around the country have risen on average at a rate of less than 5 percent per year.

A major exception to this is Williams College, which announced earlier this year that it would freeze the price of tuition, room, board and fees for the 2000-2001 school year. According to Jim Kolesar, director of public affairs at Williams College, the board of trustees decided that the college's current financial situation was rosy enough to keep tuition constant.

"Our financial position seemed to allow us to hold the fee level constant and to maintain the level and ambition of programs, as well as to maintain need-blind admissions," Kolesar said.

According to FAS Director of Communications Sally A. Baker, Harvard does not plan to freeze tuition in the near future.

"The Dean consults widely with his senior staff and makes a proposal to the President and Fellows. The Dean considers FAS costs, trends and program enhancements being made. The President and Fellows make the decision," Baker said.

But Baker said the Capital Campaign has helped keep tuition increases low.

"The Capital Campaign was designed for other uses. The minimal increase in tuition is a result of rising operating costs. The Capital Campaign, however, did help the FAS keep increases to a minimum," Baker said.

Harvard's rate of increase ties with Yale for the lowest in the Ivy League. MIT yesterday announced that its tuition will rise by 4.2 percent this year, and Princeton's tuition will rise by a rate of 3.3 percent this year.