The Tertiary Education Trust Fund (TETFund) has appealed to the Federal Government to consider raising education tax fund from the current 2.5% to 3% in order to improve tertiary education funding in the country.
The Executive Secretary of the Fund, Mr. Sonny Echono, made the appeal while announcing the disbursement of the N320 billion approved by the government to public universities, polytechnics and colleges of education for the fiscal 2023.
While commending the Federal Government for increasing the education tax from 2% to 2.5% in 2021, Echono, in his address delivered at the Annual Strategic Planning Workshop organized for Heads of Beneficiary Institutions in Abuja, explained that raising the tax rate to 3% would go a long way in enabling tertiary institutions to meet partly their funding needs.
The Executive Secretary pointed out that funding for tertiary institutions had improved in recent years due to the commitment of the present administration to education sector development.
He said: “Between 2015 to date, N1.7 trillion has been disbursed as education tax collection to public universities, polytechnics, and colleges of education compared to N1.249 trillion disbursed from the inception of the Fund in 1993 to 2014.
“I am pleased to inform you that Mr. President has approved the 2023 disbursement guidelines in the total sum of N320,345,040,835.
“On the basis of this, each university shall get, for the year 2023 intervention cycle, the total sum of N1,154,732,133.00. This comprises N954,732,123.00 as annual direct disbursement and N200 million as zonal intervention.
“Similarly, each Polytechnic shall get N699,344,867.00 comprising N569,344,807.00 as annual direct disbursement and N130 million as zonal intervention. Each College of Education shall get N800,862,602 comprising of N670,862,602.00 as annual direct disbursement and N130 million as zonal intervention”, Echono added.
According to him, the disbursements to the tertiary institutions this year represent the highest ever disbursed to the universities, polytechnics and colleges of education since TETFund was established.
He attributed the feat to the commitment of the Minister of Education, Mallam Adamu Adamu, and his Finance Ministry counterpart, Mrs. Zainab Ahmed, to the development of education sector.
