Tag: TETFUND

  • ASUU: Why NELFUND cannot replace TETFUND

    ASUU: Why NELFUND cannot replace TETFUND

    The Lagos zone of the Academic Staff Union of Universities (ASUU) has stressed importance of the Tertiary Education Trust Fund (TETFUND) to tertiary institutions.

    Speaking at a press conference on Friday at the University of Lagos (UNILAG), Chairman of ASUU Lagos Zone, Prof.Adelaja Odukoya, said to contemplate abrogating TETFUND and replace it with National Education Loan Fund (NELFUND) under the Tax Bill 2024 is “unpatriotic.”

    He noted that TETFUND focuses on institutional support by funding infrastructure, research, and staff development in public tertiary institutions, while NELFUND provides direct financial assistance to individual students through loans.

    Adekoya added that TETFUND’s beneficiaries are public tertiary institutions, whereas NELFund targets individual students seeking financial aid for their education.

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    The don however, said an attempt to scrap the agency would amount to violating the TETFUND Act of 2011, which guarantees equal and sustainable funding for public tertiary institutions. 

    He stressed that it  would also violate citizens’ constitutional rights which emphasises the state’s obligation to offer education as a social right, adding that eliminating the TETFUND and substituting it with a loan scheme does not meet this duty. 

    He said: “The common societal benefits of education, including lower crime rates, improved public health, and greater civic involvement, are undermined when the publicly supported model (TETFUND) is replaced with an individualized one NELFUND). 

    “Academic staff would not be able to receive research grants, conference funding, or training without TETFUND, which would lower their morale and professional growth. Inadequate facilities and learning materials would have a detrimental effect on instruction and learning, adding to the workload of faculty and lowering the caliber of graduates.

    “The attempt to disband the TETFUND to fund NELFund is rife with difficulties and self-serving from an educational, political, legal, and socio-cultural standpoint. It could jeopardize Nigeria’s long-term educational and developmental objectives, exacerbate socioeconomic disparities, and weaken the state tertiary institutions.”

    “The TETFUND’s termination would result in deteriorating buildings, out-of-date instructional materials, and a drop in academic standards. The TETFund has played a significant role in providing funding for studies that tackle regional and worldwide issues. Since individual student loans do not give priority to research and development, redirecting funds to the NELFund runs the risk of stifling academic innovation and research output.”

  • Tax Bill on TETFund may cripple tertiary education – ASUU

    Tax Bill on TETFund may cripple tertiary education – ASUU

    The Yola Zone of the Academic Staff Union of Universities (ASUU) has said the Nigeria Tax Bill (NTB) 2024 as it stands will steadily starve the Tertiary Education Trust Fund (TETFund) of necessary funding. 

    It worried the Fund will die by 2030 when allocation to it will finally cease completely.

    The Yola Zone of ASUU, which comprises Adamawa State University (ADSU) Mubi, Modibbo Adama University (MAU) Yola, Federal University Gashua (FUGA), Taraba State University (TSU) Jalingo, University of Maiduguri (UNIMAID) and Yobe State University (YSU), Damaturu, stated this in Yola, expressing the fear that zero allocation to TETFund by the year 2030 would surely mean the end of it.

    The Yola Zone Coordinator of ASUU, Dani Mamman, addressing a briefing at the MAU campus, said ASUU which played a pivotal role in establishing TETFund is keen to see it survive.

    He said it was unacceptable that the proposed controversial NTB 2024 seeks to dismantle TETFund by allocating only 50 percent of the development levy to it from 2025 to 2026 with the remaining half diverted to National Information Technology Development Agency (NITDA), National Agency for Science and Engineering Infrastructure (NASENI), and Nigeria Education Loans Fund (NELFUND).

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    “Replacing TETFund’s vital role with NELFUND such that by the year 2030 and beyond, TETFund will receive zero allocation from the development levy is an ill-conceived and unjustifiable move that will cripple public tertiary education,”  Mamman said.

    He added that redirecting funds meant for TETFund to other agencies contradicts the TETFund Act 2011 and a gross mis-allocation of resources.

    “The consequences of this policy are dire. It will inevitably lead to a return to the dark ages of underfunded and crumbling universities,” Mamman said.

  • ASUU decries alleged plan to abolish TETFund

    ASUU decries alleged plan to abolish TETFund

    The Academic Staff Union of Universities (ASUU) has raised a  red flag against alleged plan to abolish the Tertiary Education Trust Fund (TETFund).

    The union described the alleged plan as dangerous for the country’s tertiary education system.

    Its Calabar Zone of the union said this after its zonal conference yesterday in Abakaliki, the Ebonyi State capital. The zone comprises seven public universities in Ebonyi, Cross River, Akwa Ibom, and Abia states. They include: Abia State University (ABSU), Akwa Ibom State University (AKSU), Ebonyi State University (EBSU), Alex Ekwueme Federal University, Ndufu Alike Ikwo (AE-FUNAI), University of Calabar (UNICAL), University of Cross River State (UNICROSS), and University of Uyo (UNIUYO).

    In a statement by the union’s Zonal Coordinator Happiness Uduk, ASUU condemned the alleged plan to abrogate what it called the “live-wire” of tertiary institutions in Nigeria by approving a zero allocation to TETFund as from Year 2030.

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    The zonal coordinator described TETFund as the major source of funding in public tertiary institutions, adding that it had been pivotal to the improvement and maintenance of standards in higher educational institutions.  

    He said it would amount to being unpatriotic if the proposed tax regime in which education tax, called Development Levy meant for bankrolling TETFund’s programmes owing to dearth and decay of educational infrastructures, was allowed to be ceded to the newly established Nigerian Education Loan Fund (NELFUND).  

    “ASUU notes with serious concern Section 59(3) of the Nigeria Tax Bill (NTB) 2024, which specifically states that only 50% of the Development Levy would be made available to TETFund in 2025 and 2026 while NITDA, NISENI, and NELFUND would share the remaining percentage,” Uduk said.  

    The ASUU zonal coordinator urged governments, stakeholders and well-meaning Nigerians to reject the proposed abrogation of TETFund, describing the move as an ill will with dire consequences.  

  • Baseless attack on TETFund

    Baseless attack on TETFund

    By Johnson Momodu

    The legendary Nelson Mandela once described education as a formidable weapon useful to positively reset the stability and progression of society and humanity. But in Nigeria, education has virulent enemies who curiously revel in chaos, misinformation, and distractive mischief.

    What is the best way to derail educational progression in Africa’s largest country? Simply pull down – or attempt to collapse – the structures, the powerful pillars that support and grow the sector.

    The Tertiary Education Trust Fund (TETFund) is one such structure – and it is under attack. TETFund is an intervention agency set up to provide supplementary support to all levels of public tertiary educational institutions, specifically universities, polytechnics and Colleges of Education, with the main objective of using funding alongside project management for the rehabilitation, restoration and consolidation of tertiary education in Nigeria.

    TETFund was originally established as Education Trust Tax by Act No 7 of 1993 as amended by Act No 40 of 1998. The Act was later repealed and replaced with the Tertiary Education Trust Fund Act No. 16 of 2011.

    What is the substance of the attack initiated by some shadowy operator (s) that petitioned the National Security Adviser, NSA, claiming the Fund gave out money to a political party in a northern state? Specifically, a section of the social media has been inundated with images of a letter purportedly written by the Woman Leader of the Adamawa State Chapter of the All Progressives Congress, Mrs. Patricia Yakubu, to the NSA, part of which contains insinuations that the party received funding of N325 million between October 2023 and October 2024 from TETFund.

    The lady also alleged that “Contracts from TETFund at FCE Yola and GMMC Yola for the benefit of the party was kept secret. They sold contracts and concealed the proceeds.”

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    Basic ignorance by any stretch cannot become a licence for defaming critical institutions and responsible personalities who manage them.

    Good a thing, Abdulmumin Oniyangi, Director, Public Affairs of TETFund, has responded to bring quick clarity to defog the misinformation wittingly or unwittingly deployed in the mix of mischief and malice to damage a vital institution and its founding principles.

    His words: “We wish to state unequivocally that the insinuation is not only preposterous and totally false, but also a great disservice to the nation that an individual of such political standing, would engage in such frivolity without an iota of evidence.

     “To further buttress the futility of the allegations, we wish to state in clear terms that General Murtala Mohammed College (GMMC), Yola, where TETFund contracts were alleged to have been sold is not a beneficiary institution of TETFund; while FCE Yola which is a beneficiary institution is solely responsible for engagement of its contractors in line with the policy of the Fund.

     “The Fund has observed that allegations of this nature, sponsored by desperate individuals, have become the trend in recent times but will not be deterred in carrying out its statutory mandate which remains funding for the rehabilitation, restoration and consolidation of tertiary education in Nigeria.

     “The Fund has undertaken this mandate steadily over the years both as ETF and TETFund and with renewed vigour under the leadership of President Bola Ahmed Tinubu. We advise that detractors get their facts right so as to avoid misleading the public.”

    Clearly, TETFUND does not directly award contracts but releases money to beneficiary institutions. Its statutory configuration does not permit it to patronise political parties or politicians but only beneficiary public educational institutions in all corners of the country. Its statutory mandate would be defeated if it strays to patronizing political entities or politicians.

    Many politicians – largely unproductive folks jostling for political appointments – must seek their fortunes somewhere else rather than maligning TETFund. It is also worth noting that TETFund’s transactions are pretty open because it has only one account with the Central Bank of Nigeria.

    Beyond the informed pushback by TETFund’s public affairs directorate, another unsavoury consequence of this needless misinformation is that some sections of the media have bought into the false narrative peddled by a disgruntled lady politician. In rushing into publishing unverified allegations, they broke a cardinal, common rule of responsible journalism by not getting the other side of the story.

    One newspaper even went into overdrive and did a cover story on November 30, calling out TETFund for alleged corruption. In summary, the news outlet put both the agency and its Executive Secretary on the spot, alleging it expended humongous amounts without appropriation. Surprising ignorance and wilful mischief were betrayed in that report.

    But apparently, they misread TETFund’s Executive Secretary’s unassuming mien as a sign of weakness. Arc. Sonny Echono has responded appropriately without beating about the bush – with the instrumentality of law. He is a core, competent professional who understands the scope and sweep of his responsibility in a strategic sector at a challenging period.

    As of press time, Echono had briefed his legal counsel, which has immediately got across to the newspaper, demanding recantation and other remedial imperatives – or they will initiate defamation proceedings against the newspaper. The counsel made it very clear that the publication has impugned Echono’s integrity and injured his hard-earned reputation.

    Many may not know that Arc. Sonny Echono covets knowledge-driven innovations, proactive engagement with stakeholders, relevant institutions, policy makers, and, more importantly, sure-footed action. These dimensions have been boldly mirrored in his leadership of the TETFund despite the overarching challenges.

    As it were, a powerful vision draws in ideas, people, and other resources. It creates the momentum and will to catalyse change. It inspires individuals, complementary organizations, and institutions to commit, persist, and give their best.

    Keying into this enduring philosophy, unassuming Echono has also deployed impeccable professionalism, discipline, and persistence in the endeavour to change the traditional narrative of growing the education sector in Nigeria.

    It would be pertinent, at this juncture, to illuminate some of the statutory principles that drive TETFund’s critical operations. The main source of income available to the Fund is the three per cent Education Tax paid from the assessable profit of companies registered in Nigeria. The Federal Inland Revenue Services assesses and collects the tax on behalf of the Fund.

    The distribution of funds to beneficiary institutions as stipulated in the TETFund Act is in the ratio of 2:1:1 as between universities, polytechnics, and Colleges of Education.

    The Fund is neither involved in the award of contracts in beneficiary institutions nor even in the nomination of scholars in the capacity building intervention, but only responsible for the disbursement of funds and monitoring of projects in beneficiary institutions. Awards of contracts are carried out by beneficiary institutions. Though these points have been made previously, they are worth repeating.

    In line with the TETFund Act, intervention allocations are not required to pass through the National Assembly for approvals/appropriation as it is not one of the revenues that constitute the Consolidated Revenue Fund of the Federation under Section 80(1) of the Constitution. This contradicts a core kernel of the newspaper report.

    An interpretation of the provisions of the TETFund Act regarding submissions of TETFund allocations to the National Assembly for appropriation was given by the Office of the Attorney-General of the Federation and Minister of Justice in 2013, where it was stated that the provisions of the TETFund Act do not require appropriation of its intervention funds by the National Assembly.

    Therefore, those targeting this strategic national institution should perish their toxic mischief and consider going after other prey.

    •Momodu, a public affairs analyst, is based in Benin.

  • Defence bureau calls for collaboration with TETFUND

    Defence bureau calls for collaboration with TETFUND

    as a follow-up to the maiden research/exhibition organised by Tertiary Education Trust Fund, (TETFUND), Director-General of Defence Research and Development Bureau, Gen. Emmanuel Ndagi, has called for collaboration with  TETFUND.

    Executive Secretary, Sonny Echono, said the exhibition showcasd research outcomes from beneficiary institutions, and innovations from formal and informal sectors with the aim to connect them to industry for prototype upscale and commercialisation.

     He noted that the exhibition was an effort to ensure innovators and researchers contribute to revamping the economy, create jobs, as well as generate and redistribute wealth.

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     The military made a bold and impressive show at the national research fair/exhibition in November in Abuja.

     Defence Research and Development Bureau’s mission is to provide direction for self-reliance in defence and security needs through research and development.

     The director general, while appreciating                TETFUND for its support, expressed readiness for further collaboration.

     The areas of interest for the bureau include drones and payloads, armoured vehicles and boats, weapons and missiles, ballistic vests and helmets, logistics and ICT.

  • ‘TETFUND key to varsities growth’

    ‘TETFUND key to varsities growth’

    National Association of Nigerian Students (NANS) has stressed importance of continuous existence of Tertiary Education Trust Fund (TETFUND).

    Speaking in Lagos at its 86th National Senate Sitting and Pre-convention, NANS Senate President, Babatunde Afeez, noted that TETFUND had impacted tertiary institutions in infrastructural development,  capacity building, research and innovative activities.

    He said the agency should not be ‘tampered’ with for any reason, but be properly funded and managed by people, who are competent and with integrity to enable it to perform better.

    He said a clarification was necessary regarding whether the proposed Tax Reform Bill would affect the agency.

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    “Every Nigerian knows importance of TETFUND in our schools as the agency’s projects are everywhere across campuses. We don’t know what would have happened in our campuses if TETFUND were not in existence. And that is why the agency should not be tampered with for any reason,” he said.

    Akinteye said  no to fee hike again by any public school in the country, stressing  NELFUND’s loans or any other consideration can’t be used as yardstick to justify any fee increment. 

    Earlier, National President of NANS, Lucky Emonefe, hailed students for their support and cooperation with the leadership of the union, assuring them of continuously serving their interests.

    He said while TETFUND remains, NANS  would continue to sensitise members, who need help, to access NELFUND.

    According to him, students need not know anybody before they can secure loan from NELFUND as its operations are fair and transparent.

    Emonefe, while giving his administration’s score card in the last one year, he said the next national convention will hold in March in Abuja.

  • TETFUND boss to varsities: synergise for growth

    TETFUND boss to varsities: synergise for growth

    To engender development, universities have been urged to foster collaborations by seeking international and local partnerships to support research, innovation, academic exchange and student internships.

     This call was made by the Executive Secretary of the Tertiary Education Trust Fund, Sonny Echono, an architect, while delivering the 36h Convocation Lecture of the Federal University of Technology (FUTO), Oweri, Imo State.

    The lecture was titled: “Impact of leadership selection on governance in public universities in Nigeria”.

    Echono advised that the universities “should also explore avenues to engage with alumni and communities to create awareness, mobilise support and build a strong network of advocates for public universities.”

     The TETFUND helmsman advocated tor transparency and accountability in leadership and public governance: “Leaders must ensure that decisions are made openly and that there is clear communication about how and why decisions are made.

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    “Transparency fosters trust between the leaders and those they govern. It also means creating a culture of inclusivity and fairness. A leader must understand that governance is not about serving a select few, but about ensuring that all voices are heard, especially the marginalised and vulnerable.”

     True governance, according to Echono, “requires the active engagement of stakeholders, and leaders must work to create opportunities for participation and dialogue. It is through inclusivity that governance becomes truly democratic.

    “Governance, at its best, reflects leadership that is not only focused on managing the present but also on anticipating and preparing for the future. Leaders in governance must be forward-thinking, adaptable, and constantly working to improve the system for future generations.”

    He posited that “Leadership and governance are two sides of the same coin: Leadership gives governance its direction, its moral compass, and its dynamism. Governance, on the other hand, ensures that leadership remains accountable, transparent and committed to the well-being of those it serves.

    “Effective leadership fosters strong governance, and good governance enhances the ability of leaders to serve their communities and organisations.

    “As leaders, we must recognise the weight of our responsibilities and to embody the qualities that inspire others to follow. As we reflect on the leaders in our lives, let us remember that true leadership is grounded in responsibility, nurtured by qualities of character, and defined by its ability to guide and serve others through effective governance.

    “The work we do in leadership and governance shapes the world we live in. Let us strive to lead with purpose, integrity and vision, and let us govern in a way that reflects the values of justice, fairness and service.”

  • Why TETfund stopped foreign scholarships

    Why TETfund stopped foreign scholarships

    • BoT cites high abscondment rate, rising cost

    From January 1 next year, members of staff of tertiary institutions seeking scholarships for foreign post-graduate programmes through the Tertiary Education Trust Fund (TETFund) will not be opportune to do so.

     This is because TETfund’s Board of Trustees has suspended the foreign component of the scheme known as  TSAS (TETfund Scholarship for Academic Staff). 

      TETFund’s Public Affairs Director  Abdulmumin Oniyangi said in a statement that the decision was in response to the high cost of training in foreign institutions and the rate of abscondment by the beneficiaries.

    Oniyangi, however, said those who have already enrolled in foreign institutions would continue to draw down on their scholarships till the end of their programmes.

    TETFund, a Federal Government intervention scheme,    was formed as a product of the Education Tax Act of 1993.

     About 4,980 academics   received N10.8 billion in scholarships for Masters, doctoral and post-doctoral programmes between June last year and July.

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    Twenty-four academics in  24 foreign universities got  N340 million during the period. 

    Oniyanji,   in the statement, said:  “It is expected that the suspension will conserve and reduce the pressure on the foreign exchange rate, boost investment and local capacity in Nigerian tertiary educational institutions, and significantly increase the number of beneficiaries of the intervention.

    “To this end, TETFund in collaboration with the National Universities Commission (NUC) has intensified efforts in the implementation of the Trans-national Education Guidelines recently approved by President Bola Tinubu.” 

    The statement added that under the scheme, top-ranking institutions in the United Kingdom, United States,   Malaysia, Brazil, and others would be encouraged to mount programmes in partnership with Nigerian institutions.

    Oniyanji said this is in a bid to offer the same standard and quality of courses that are obtainable in their home institutions.

    He added that beneficiary institutions of TETFund had been advised to prioritise their training needs for implementation in Nigerian institutions and ensure strict compliance. 

    The scheme was established   by the Federal Government in 2011 to primarily  disburse, manage, and monitor education tax to government-owned tertiary institutions

  • Exclusion of private varsities from TETFund, NELFUND: Ex-UI VC seeks review of law

    Exclusion of private varsities from TETFund, NELFUND: Ex-UI VC seeks review of law

    A former Vice Chancellor of the University of Ibadan (UI), Prof. Abel Olayinka, has urged the Federal Government to review the law that prevents private universities from benefitting from the Tertiary Education Trust Fund (TETFund) and its students as beneficiaries of Nigerian Education Loan Fund (NELFUND).

    The ex-VC noted that despite the fact that private universities were established by individuals, they should be treated as public entities that serve public good.

    Olayinka gave the suggestion while delivering the 17th convocation lecture, titled: Resolving the Trilemma of Access, Affordability and Quality in the Nigerian University System: A Role for the Entrepreneur, at Lead City University in Ibadan.

    He said: “The students who attend such private institutions are assets to the country and they are expected to participate in the National Youth Service Corps (NYSC) scheme and contribute their quota to the nation’s socioeconomic development.”

    Olayinka said private operators in the education sector should be encouraged to complement government efforts at providing quality education for the citizens.

    “There is a mindset that private universities were established solely to make profit and should be left to their devices to either survive or die. This may not tell a complete story.

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    “Education should be seen as a public good and as a private good. The government has to be interested in the provision of education for its citizenry. However, the resources available to government may not be enough to cater for the demand of quality education from the ever-growing population. It is in this context that provision of education by the private sector should be contextualised.

    “The government has to encourage the private sector operatives in all possible ways in filling the wide gap between the demand for higher education and the supply side. It should be expected that the private universities will recover their cost, provide employment, pay tax to government and make a decent profit, in order to ensure sustainability,” he said.

    The former vice chancellor stressed that his suggestion for the Federal Government to extend the Student’s Loan Scheme to students in private universities was borne out of the fact that not all students in private universities are from rich homes.

    Lead University’s Vice Chancellor, Prof. Kabir Adeyemi, described the topic of the lecture as timely and relevant.

    He said it was aimed at speaking to the heart of the challenges that universities across the nation grapple with on daily basis.

  • Former UI VC calls for review of legislation excluding private universities from TETFund, NELFUND

    Former UI VC calls for review of legislation excluding private universities from TETFund, NELFUND

    Prof. Abel Olayinka, a former Vice-Chancellor of the University of Ibadan (UI), has called on the federal government to reconsider laws that prevent private universities from benefiting from the Tertiary Education Trust Fund (TETFund) and for students in these institutions to be eligible for the Nigerian Education Loan Fund (NELFUND). 

    Olayinka emphasised that while private universities are founded by individuals, they function as public entities that serve the broader public good. 

    He made this statement during the 17th Convocation Lecture of Lead City University, Ibadan, titled *”Resolving the Trilemma of Access, Affordability, and Quality in the Nigerian University System: A Role for the Entrepreneur.”

    Olayinka argued that despite their private origins, these universities contribute significantly to the public education system and should be treated as such in terms of funding and support. 

    He said: “The students who attend such private institutions are assets to the country and they are expected to participate in the National Youth Service Corp scheme and contribute their quota to the nation’s socioeconomic development.”

    He noted that private sector operatives in the education sector in the country should be encouraged to complement government efforts at providing quality education for its citizens.

    “There is a mindset that private universities were established solely to make a profit and as such they should be left to their own devices to either survive or die. This may not tell a complete story.

    “Education should be seen both as a public good and as a private good. The government has to be interested in the provision of education for its citizenry. However, the resources available to the government may not be enough to cater for the demand for quality education from the ever-growing population. It is in this context that the provision of education by the private sector should be contextualized.

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    “The government has to encourage the private sector operatives in all possible ways to fill the wide gap between the demand for higher education and the supply side. It should be expected that private universities will recover their cost, provide employment, pay taxes to the government, and make a decent profit, to ensure sustainability

    The University don also noted that the request for the federal government to extend the Student’s Loan Scheme to students in private universities was borne out of the fact that not all students in private universities are from rich homes

    Earlier the Vice Chancellor of the institution, Prof. Kabir Adeyemi in his welcome address, described the topic of the lecture, as timely and relevant, as it aims to speak to the heart of the challenges that universities across the nation grapple with daily.