The Federal Government has directed federal universities across Nigeria to begin immediate payment of the tax-free Consolidated Academic Tools Allowance (CATA) for academic staff, in line with its agreement with university teachers.
The directive was issued by the Minister of Education, Dr. Tunji Alausa, who instructed universities to commence disbursement of the allowance despite the ongoing approval process for the 2026 federal budget.
CATA, which is tax-exempt, ranges from slightly above ₦1 million annually for graduate assistants and assistant lecturers to over ₦3 million for professors. The allowance is expected to significantly improve the take-home pay of university lecturers.
According to a memo signed by the minister on Friday, all federal universities are required to implement the payment immediately. Dr. Alausa emphasised that the allowance forms part of the executed 2025 agreement between the Federal Government and the Academic Staff Union of Universities (ASUU).
He further directed university managements to mobilise available resources to ensure prompt implementation, stressing that the move reflects the government’s commitment to honouring negotiated agreements.
“The prompt implementation of this allowance will demonstrate the Federal Government’s resolve to uphold duly negotiated agreements, promote industrial harmony, boost staff morale, and strengthen the academic environment in our universities,” the minister stated.
Copies of the directive were sent to the Executive Secretary of the National Universities Commission (NUC) and all vice-chancellors of federal universities for immediate action.
CATA is a specialised, job-related allowance introduced by the Tinubu administration to support the research, teaching, and intellectual responsibilities of university academics. It is a key component of a newly adopted dual salary structure for university lecturers.
Under this structure, academic staff salaries are divided into two parts: the Consolidated University Academic Staff Salary (CONUASS), which serves as the base salary and is subject to taxation, and CATA, which is a separate, tax-exempt allowance meant to cover work-related tools and academic activities.
The allowance is designed to support expenses such as research materials, books, software, fieldwork, and other scholarly resources required for effective teaching and research.
CATA’s tax-exempt status is backed by existing Nigerian tax laws, including Section 3(1)(b) of the Personal Income Tax Act and provisions of the Nigerian Tax Act 2025.
Introduced as part of a 40 per cent review of academic remuneration, CATA is described as a benefit “peculiar to university academic staff,” underscoring its role as a targeted incentive aimed at strengthening Nigeria’s higher education sector.
