The Federal Government has announced the exemption of third-party research grant funds for federal universities and research institutions from the Treasury Single Account (TSA).
This directive, aimed at enhancing the financial autonomy of academic and research institutions, was issued by President Bola Tinubu to the Coordinating Minister of Finance and National Economy, Wale Edun.
The President’s decision was communicated to Vice Chancellors through a letter from the Minister of Education, Prof. Tahir Mamman, dated September 6, 2024. The letter, seen by our correspondent on Monday in Abuja, originated from the National Universities Commission (NUC).
In addition to the exclusion from the TSA, the directive grants universities and research centers the independence to manage their endowment fund accounts at commercial banks.
This move is expected to bolster financial freedom within institutions, promoting research and innovation across the country.
The letter from the NUC, signed by Acting Executive Secretary Chris Maiyaki, stated: “The National Universities Commission received the directive from the Honourable Minister of Education, Ref. DE/HE/37/VII/324 and dated 4th September 2024, forwarding the correspondence from the Principal Secretary to the President, State House, vide PRES/87/MF/71/198/MBEP/15 and dated 23rd July 2024, on the above subject.”
It further elaborated: “The letter communicates Mr. President’s directive to the Honourable Minister of Finance and Coordinating Minister of the Economy to exclude third-party research grant funds of federal universities and research institutes from the Treasury Single Account, and to grant universities and research institutes autonomy in operating their endowment fund accounts in commercial banks. Please see attached.”
This development is seen as a significant step toward fostering academic growth and research-driven innovation in Nigerian universities and research institutions.
