Peter Obi applauds FG’s reversal of 40% IGR deductions from universities

Peter Obi, presidential candidate of the Labour Party (LP) has applauded the decision by the federal government to reverse plans to deduct 40 percent of universities’ internally generated revenues (IGR).

Obi made this known via his official X handle @PeterObi.

“It is gratifying that the FGN has reversed its demand on the 40 percent IGR from universities,” he published on X.

“It is ab initio totally inconceivable that grossly underfunded universities would be expected to dole out 40 percent of their IGR to the FGN.”

Read also: 40% deduction from varsities’ IGR will make education unaffordable — Stakeholders

The former governor of Anambra State in addition said the demand underlines a lack of attention to the persistent abuse of the TETFund, which is presently not being properly utilised to fund tertiary education as initially envisaged.

‘In fact, FGN should promptly reorganise and revamp TETFund, to fulfil its statutory role of funding Nigerian public universities both federal and state owned, and also in assisting those owned by voluntary agencies,” he said.

“The time has come for the government to pay more attention to the financial autonomy of our public universities while fulfilling its statutory financial responsibility to our public tertiary education.”

The federal government had earlier announced that it has bowed to pressure by suspending the automatic deduction of 40 percent from the IGR of tertiary institutions.

President Bola Tinubu gave the reversal order on Friday, November 17, 2023 while speaking at the 75th founder’s day ceremony at the University of Ibadan (UI).

Tahir Mamman, minister of education, announced the rescission of the federal government’s earlier directive that 40 percent from the internally generated revenues (IGR) of all federal universities be remitted to it, noting that the policy was ill-timed.

Read also: Universities VCs protest 40% IGR deduction to FG

According to the minister, President Tinubu had announced that “the 40 percent IGR automatic deduction policy stands cancelled. This is not the best time for such policy since our universities are struggling.”

Reacting to Peter Obi’s disposition to the announcement of the federal government, Kezman, wrote on his Twitter handle @iaboyeji, “I hope you can actually see him still doing what he knows how to do.

Churning out ideas for the FG to move the country forward. This was based on your tweet asking him to contribute ideas. He has been doing that but I doubt the reckless spending FG would buy into it.”