The University Grants Commission (UGC) has approved a budget of Tk 12,300.40 crore for 58 public universities and the commission itself for the 2026-27 fiscal year, with increased allocations for higher education, research and foreign scholarships.
The budget was approved at the 178th full commission meeting held on Thursday under the chairmanship of UGC Chairman Professor Dr Mamun Ahmed.
Of the total allocation, Tk 12,101.82 crore has been earmarked for 58 public universities, while Tk 198.58 crore has been allocated for the UGC.
According to the approved budget, Tk 7,428.43 crore has been allocated for operational expenses of public universities and Tk 4,573.39 crore for development expenditure under 43 ongoing projects.
UGC Secretary Dr Fakhrul Islam presented the working paper at the meeting, while UGC Member Professor Dr Mohammad Ayub Islam highlighted the revised budget for 2025-26 and the proposed budget for 2026-27.
The allocation for public universities has increased by Tk 1,497.83 crore compared with the revised budget of Tk 10,604 crore approved for 57 public universities in the current fiscal year.
Among the universities, University of Dhaka received the highest revenue allocation, amounting to Tk 949.36 crore.
A significant feature of the new budget is the increased emphasis on research and foreign scholarships. A total of Tk 238 crore has been allocated for the sector, up from Tk 229 crore in the current fiscal year.
The increase follows a policy decision taken at a tripartite meeting on the Medium Term Budget Framework held on April 4, 2026, to merge the research funds of public universities and the UGC in order to avoid duplication and improve resource management.
Under the new arrangement, Tk 200 crore previously allocated directly to universities for research has been incorporated into the UGC budget. As a result, the commission's research allocation has risen to Tk 226 crore, while an additional Tk 12 crore has been earmarked for foreign scholarships, bringing the total allocation to Tk 238 crore.
Nearly 80 per cent of the UGC's own budget has been allocated to research and foreign scholarship programmes.
Speaking at the meeting, Professor Mamun Ahmed said the commission would formulate a policy in consultation with universities to ensure the effective utilisation of research funds.
"Even if research funds are allocated centrally, university research activities will not be affected. Rather, it will create opportunities for more effective distribution of funds by considering the quality, necessity and potential impact of research," he said.
The UGC chairman, however, acknowledged that the allocation remained inadequate in relation to the needs of the country's universities.
"Nevertheless, if the funds are spent with transparency and accountability by identifying the needs of society and priority sectors, the higher education sector will benefit significantly," he said.
He added that ensuring quality higher education and developing a strong research culture remained the commission's principal objectives.
"There is no alternative to quality research for sustainable development and building a knowledge based economy," he said, adding that the UGC would continue to prioritise research and innovation and seek increased allocations for the sector in future budgets.
