Tertiary Education Funding In Nigeria; The Effect Of Treasury Single Account – TSA (A Case Study Of University Of Lagos)

Tertiary Education Funding In Nigeria; The Effect Of Treasury Single Account – TSA (A Case Study Of University Of Lagos)
Abstract
Higher education in Nigeria has witnessed a significant growth in terms of expansion of access through increase in enrolment and establishment of additional institutions. However, it is saddening to note that many of the indices that can guarantee qualitative higher education are not taken into consideration in the country’s quest to meet quantitative target. It has been observed that political factors are the main motives behind many of the expansion polices especially in the university system (Ekundayo, 2008) In fact, capital projects to meet the expanding programmes could not take off, in case where they took off, they had to be abandoned due to lack of funds. The result according to Ekundayo (2008) was a summon table pressure on the available limited resources thereby resulting in downward pressure on staff salaries together with deteriorating working conditions. The effect includes high degree of “brain-drain” among the academic staff, incessant strikes action, students’ riots and lecture boy-cots etc. All these will have a by – effects in the quality of higher education in Nigeria.
As laudable as TSA appears to, it is fraught with many challenges. Most of the revenue generating agencies and their parent ministries are not comfortable with the TSA regime. They believe it will limit their control over the funds they are making which in most cases they use to finance some extra budgetary expenses. In the same vein, Academic Staff Union of Universities (ASUU) and Academic Staff Union of Polytechnics (ASUP) have shown great apathy and serious critics against the adoption of TSA in tertiary institutions.
Table of Content
- Title Page
- Declaration
- Certification
- Dedication
- Acknowledgement
- Abbreviation
- Abstract
- Table Of Content
Chapter One
Introduction
- 1.1 Background to the Study
- 1.2 Statement of the Problem
- 1.3 Objectives of the Study
- 1.4 Research Questions
- 1.5 Research Hypotheses
- 1.6 Significance of the Study
- 1.7 Scope of the Study
- 1.8 Limitation of the study
- 1.9 Definition of Terms
Chapter Two
Literature Review
- 2.1 Introduction
- 2.2 Literature Review
- 2.3 The Nigeria Tertiary Education System
- 2.3.1 Effects of Inadequate Funding on Tertiary Institutions
- 2.3.2 Possible Sources of Funding Higher Education In Nigeria
- 2.4 Treasury Single Account on Tertiary Institutions Funding In Nigeria
- 2.4.1 The meaning of treasury single account (TSA)
- 2.4.2 History of TSA in Nigeria
- 2.4.3 Benefits of treasury single account
- 2.5 Emperical Review
Chapter Three
Methodology
- 3.1 Research Design
- 3.2 The Study Area
- 3.3 Population of the Study
- 3.4 Sample Size and Sampling Techniques
- 3.5 Sources of Data Collection
- 3.6 Instrument for Data Collection
- 3.7 Validity of Research Instrument
- 3.8 Reliability of the Instrument
- 3.9 Administration of the Instrument
- 3.10 Method of Data Analysis
- 3.11 Decision Rule
Chapter Four
Data Presentation and Analysis
- 4.1 Bio Data of Respondents
- 4.2 Data Analysis
- Conclusion
Chapter Five
Summary of Findings, Conclusion and Recommendations
- 5.1 Summary of Findings
- 1.2 Conclusion
- 1.3 Recommendations
- Appendix
Chapter One
Introduction
1.1 Background of the Study
The funding of tertiary education in Nigeria was before now left in the hands of university management. Universities had the autonomy to seek, receive funding and carry out expenditures for their respective institutions. This was the responsibility of the councils of the universities. Consequently, they were expected to submit annual reports of their financial transactions to the national universities commissions. Universities adopted the liberal Treasury system which permitted them to receive and disburse grants and endowments from within and outside the country. Therefore, funds which accrue to tertiary institutions were sent directly into their commercial bank accounts. However, many of this funds were not used for their intended purposes and some were abused by university management.
Consequently, the current administration of President Muhammadu Buhari in the inception of his administration instituted the treasury singly account for all federal institutions, ministries and agencies.
Adeolu (2015) defined treasury single account as a public accounting system in which all government revenue, receipts and income are deposited into one single account, and this account is maintained by the nation’s Central Bank while all approved payments are carried out from the same account. The essence was eliminate corruption and ensure proper cash management. Similarly Akande (2015) defined Treasury Single Account (TSA) as is a unification of all government bank accounts into a single consolidated account where all revenues and expenditures of government are made. Thereby, giving the government a true picture of its cash position for a given period of time. The study seek to appraise Tertiary education funding in Nigeria; the effect of TSA using a case study of University of Lagos.
1.2 Statement of the Problem
The university had long operated an autonomous system of managing its funds as the council of universities had the autonomy to receive funds, grants etc to manage the university system. However, the current government of President Muhammadu Buhari adopted a new policy referred to as the treasury singly account which requires that all government revenues and payments be made under a single consolidated account of government. While the system has been successful in many government ministries and agencies, the tertiary institutions are not finding it easy operating under the new system. Tertiary education unions in Nigeria are strongly against the policy stating that the policy has hindered foreign grants for research and trainings and also caused delays in the payment of salaries. They are of the opinion that the policy has hindered projects in higher institutions and that foreign partners are opposed to sending funds meant for research in higher institutions into government accounts. However the while this proposition has been known to the government, the governments insist that all tertiary institutions adhere strictly to the policy of the treasury single account. Consequently, the problem confronting the study is to appraise Tertiary education funding in Nigeria; the effect of TSA a case study of university of Lagos.
1.3 Objective of the Study
The Main Objective of the study is to appraise Tertiary education funding in Nigeria; the effect of TSA. A case study of university of Lagos;
The specific objectives include
- To determine the relevance of Tertiary education funding in Nigeria.
- To determine the nature of TSA.
- To determine the effect of TSA on Tertiary education funding in Nigeria; A case study of university of Lagos.
1.4 Research Questions
- What is the relevance of Tertiary education funding in Nigeria?
- What is the nature of TSA?
- What is the effect of TSA on Tertiary education funding in Nigeria; A case study of university of Lagos?
1.5 Statement of the Hypothesis
The statement of the hypothesis for the study is stated in Null as follows
- HO The level of Tertiary education funding in university of Lagos is low.
- HO The effect of TSA on Tertiary education funding in university of Lagos is negative.
1.6 Significance of the Study
The study investigates the effect of treasury single account on Tertiary education funding in Nigeria with a case study of university of Lagos. It provides relevant data for the effective formulation and implementation of policies to enhance the realization of envisaged objective.
1.8 Limitation of the Study
The study was confronted with logistics and geographical factors.
1.9 Definition of Terms
TSA Defined
Treasury single account as a public accounting system in which all government revenue, receipts and income are deposited into one single account, and this account is maintained by the nation’s Central Bank while all approved payments are carried out from the same account. The essence was to eliminate corruption and ensure proper cash management.
Tertiary Education Defined
This is the Education at a level above that of secondary or high school.
Strike Defined
Strike is viewed as the stoppage of work which is the result of the mass refusal of employees to work, as reaction to employee grievances
Educational Supervision Defined
Educational Supervision consist of all effort involving school officials directed at t providing leadership to educational workers or teachers to enhance an improved educational system and institution. The process involves the deployment of human and material resources
Chapter Five
Summary, Conclusion and Recommendations
5.1 Preamble
This chapter presents the summary and conclusion that can be drawn from the study. It also presents the researchers recommendations with regards to the findings of the study and proposed areas for further studies by other researcher.
5.2 Summary
The Main Objective of the study is to appraise Tertiary education funding in Nigeria; the effect of TSA. A case study of university of Lagos;
The specific objectives include
- To determine the relevance of Tertiary education funding in Nigeria.
- To determine the nature of TSA.
- To determine the effect of TSA on Tertiary education funding in Nigeria; A case study of university of Lagos.
Findings from the study reveal that the level of Tertiary education funding in university of Lagos is low and that the effect of TSA on Tertiary education funding in university of Lagos is positive.
5.3 Conclusion
This paper aims to investigate Tertiary education funding in Nigeria; the effect of TSA (a case study of university of Lagos)
The study is to be carried out in University of Lagos. The study was carried out among lecturers and students of University of Lagos.
As a result of the inability of the researcher to effectively study the whole population strength, a representative number was chosen as the sample size population. 61 respondents was used as the sample size. Data was collected from primary and secondary sources. Primary data was obtained through questionnaire and personal interviews with the respondents. Tables and simple percentage was used as technique of analyzing the research questions.
Findings from the study revealed that the level of Tertiary education funding in university of Lagos is low and the effect of TSA on Tertiary education funding in university of Lagos is positive.
It is recommended that those states and schools that are yet to adopt the TSA, should adopt and implement it for efficient fund management and curbing revenue leakage.
5.4 Recommendations
The workability or otherwise of TSA for the benefit of the country is the puzzle that needs to be resolved.
Also, it is recommended that those states and schools that are yet to adopt the TSA, should adopt and implement it for efficient fund management and curbing revenue leakage.
Other recommendations include;
- That constant monitoring of the MDAs compliance to the E-payment should be fostered.
- There should be an incessant sensitisation of relevant stakeholders on the necessities for TSA.
- Professional groups, such as Accountancy, Finance, and Management bodies should work in partnership with the government and be involved in educating their members in order to have their buy-in.
- TSA requires political will, determination and sincerity on the part of government so as to rise above the diverse challenges identified in order to achieve the expected benefits of the system through reduction in the cost of governance in Nigeria and revolutionize our society for better.
- TSA should be embraced by all arms of government.
- MDAs administrative funds should always be released speedily.


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