Breaking News: Nigeria’s Federal Government Grants Financial Autonomy to Universities and Research Institutions
In a significant move aimed at promoting research and innovation in the country, the Federal Government of Nigeria has directed the exclusion of third-party research grant funds of federal universities and research institutions from the Treasury Single Account (TSA). The directive, conveyed through a letter from the National Universities Commission (NUC) to Vice Chancellors, also grants universities and research institutions the autonomy to operate their endowment fund accounts in commercial banks.
According to the letter, dated September 6, 2024, the Minister of Education, Prof. Tahir Mamman, conveyed the President’s directive to the Coordinating Minister of Finance and National Economy, Wale Edun, mandating the exemption. The directive is expected to enhance the financial autonomy of universities and research institutions, allowing them to manage their funds more effectively and focus on their core mandates.
The move is seen as a major step towards promoting research and innovation in Nigeria, as universities and research institutions will now have greater control over their financial resources. This, in turn, is expected to lead to increased research output, improved academic standards, and a more competitive knowledge economy.
The letter, signed by the Acting Executive Secretary of the NUC, Chris Maiyaki, provides further details on the directive, stating that it is aimed at ensuring the effective management of federal universities and research institutions. The letter also attaches the correspondence from the Principal Secretary to the President, State House, which dated July 23, 2024, and bears reference number PRES/87/MF/71/198/MBEP/15.
The decision is expected to have a positive impact on the country’s education sector, as universities and research institutions will now be able to operate more independently and make decisions that are in the best interest of their institutions. This move is also seen as a step towards promoting academic freedom and autonomy, which are essential for the growth and development of higher education in Nigeria.
In conclusion, the Federal Government’s directive to exclude third-party research grant funds from the TSA and grant universities and research institutions autonomy to operate their endowment fund accounts in commercial banks is a significant step towards promoting research and innovation in Nigeria. This move is expected to have a positive impact on the country’s education sector and promote academic freedom and autonomy.
