•Educational economist, Anietie, wants school principals to explore opportunities, insists govt allocations not enough
From Isaac Job, Uyo
Dr. Richard Anietie is Educational Economist, Policy Scholar and Fellow, University of Alabama, United States of America. In this interview, he speaks on the funding crisis in the education sector and the urgent need for principals of schools to have an entrepreneur mindset. Excerpts:
What is your impression about funding of education sector in Nigeria?
Over the past 10 years, Nigeria has consistently underfunded education, allocating an average of just five to seven per cent of the national budget annually. This figure falls significantly short of UNESCO’s recommended benchmark of 15 to 20 percent. In concrete terms, the 2021 federal allocation to education was merely 5.68 percent. While there was a slight increase in 2022 and 2023, the figure reached around 7.9 per cent in 2023, still far from ideal. What makes this particularly alarming is that these figures do not align with the growing demands placed on the sector. Enrollment numbers have surged due to population growth, infrastructure is decaying in many public schools and teacher-student ratios continue to widen. Meanwhile, education remains at the heart of national development. When funding doesn’t keep pace with these challenges, the consequences are systemic: Diminished quality, poor learning outcomes and a widening gap between policy goals and actual delivery.
Recently, you advocated an entrepreneurial mindset among school principals. Why is that necessary at this point?
In my 2022 study titled School Business Management Competencies for Improved Administrative Effectiveness in Public Secondary Schools in Rivers State, I observed a critical gap between what the government provides and what schools actually need. Principals, traditionally trained as instructional leaders, are now expected to perform executive roles without the requisite support. Hence, we propose that principals begin to function more like Chief Executive Officers (CEOs). In practical terms, this means being proactive in identifying and exploiting funding opportunities within the school environment. The study revealed that schools running micro-businesses such as school canteens, uniform production, adult education classes and even examination centers exhibited better administrative efficiency. This is not to commercialize education, but to support its continuity. Given the chronic shortfall in public funding, being entrepreneurial is no longer a luxury, it is a necessity
You mentioned resourcefulness as a core competency in your study. What does that entail in practical terms for a secondary school principal?
Resourcefulness is about innovation within constraints. Principals must develop the capacity to mobilize the resources around them. Human, physical and community-based; and convert them into meaningful support for their schools. For instance, rather than rely solely on government supplies, principals can initiate school-led ventures like canteen services or craft exhibitions, particularly when these align with community needs. Some schools have partnered with artisans to run skill-acquisition programmes, generating income while empowering students. In our earlier work published in the International Journal of Research and Scientific Innovation in 2019, we highlighted allied school businesses, economic ventures tied to the school’s operations as a viable funding route. These businesses not only support school finance, but also build community relationships and experiential learning platforms.
You also discuss conceptual thinking as a leadership trait. Could you explain how this supports school entrepreneurship?
Conceptual thinking involves the ability to synthesize abstract ideas and apply them to real-world problems. It’s what separates a reactive administrator from a visionary leader. For a principal, this could mean recognizing unmet needs in the community. Say, a lack of affordable childcare and responding with a school-managed daycare that also trains students in early childhood education. The principal must understand how to blend educational objectives with business models that are both feasible and sustainable. Conceptual thinkers create frameworks where school goals and entrepreneurial ventures coexist harmoniously. They design mechanisms to evaluate risks, conduct SWOT analyses and align operations with long-term development plans. This is essential to avoid mission drift where schools lose sight of their core purpose due to over-commercialization.
What systems must a principal put in place to balance academics and entrepreneurship?
Administrative organization is foundational. Many schools fail at entrepreneurial initiatives because they do not draw clear lines between academic and business responsibilities. The principal must implement robust administrative structures. Designate separate staff to manage school businesses, define roles and establish transparent accountability mechanisms. Importantly, teaching staff should not be overburdened with non-academic duties, as this could degrade instructional quality. In our study, we emphasized that administrative success depends on the principal’s ability to plan strategically; allocating time, personnel, and resources in a way that enhances, rather than compromises, the school’s primary educational mission. Oversight is crucial. This includes regular audits, feedback mechanisms and ongoing evaluation of both academic and entrepreneurial performance indicators.
Some might argue that these models only work in urban or better-resourced environments. Are these ideas applicable in rural or underfunded schools?
That’s a valid concern but one that data does not necessarily support. In fact, many rural schools have stronger community bonds, which can be harnessed for grassroots school improvement. For example, rural schools can organize farming cooperatives, host community skills training, or partner with local artisans to create products for sale. In my observation, what are often lacking are not willingness but policy support and technical training. A principal in a remote community may not have access to financial management tools or entrepreneurship education. Therefore, state ministries and local education authorities must step in to build capacity and offer frameworks that allow flexibility while ensuring compliance with educational standards.
What recommendations would you offer to policymakers to support this transformation?
Three recommendations come to mind. First, we must redesign leadership development frameworks. Principal training programmes should include modules on entrepreneurship, business planning, financial literacy and community engagement. We must shift from viewing principals as administrators to seeing them as ecosystem builders. Second, we need decentralized funding models that permit schools to retain and reinvest internally generated revenue. Too often, bureaucratic controls prevent schools from utilizing funds they generate, causing demonization. Third, policy clarity is essential. There should be a clear legal framework that guides school-based enterprises, outlining what is allowed, how income can be used and what reporting structures are expected. Such clarity will encourage innovation while minimizing misuse or misinterpretation.
What are your final thoughts on the future of educational leadership in Nigeria?
Nigeria’s educational future will not be determined by government allocations alone. We must embrace leadership models that foster resilience, innovation and community engagement. Principals need to be empowered not just as instructional leaders, but also as visionaries and change agents. If we equip them with the competencies of resourcefulness, conceptual thinking and administrative organization, we’ll begin to see our schools not as institutions merely consuming public funds, but as hubs generating value socially, intellectually and economically. Ultimately, transforming principals into CEOs is not just a theoretical proposition. It’s a practical, necessary shift to ensure educational sustainability in a chronically underfunded system.