Background This study examines the challenges faced by Ethiopian public universities in achieving institutional, administrative, academic, and financial autonomy. Institutional autonomy refers to a university’s ability to self-govern, set its mission, and establish policies without external interference. Administrative autonomy concerns decision-making in operations, academic autonomy relates to academic freedom and quality assurance, and financial autonomy involves control over resources and revenue generation. In Ethiopia, centralized governance, political interference, and limited financial strategies create significant barriers to autonomy. Method A qualitative research approach was employed, utilizing semi-structured interviews, key informant interviews, focus group discussions, and direct observations. Data were collected from 59 participants across three public universities. Tools included consent forms, interview guides, focus group discussion guides, and observation checklists. Thematic analysis was used to identify key patterns in the autonomy challenges. The study is grounded in Institutional Theory, Principal-Agent Theory, and Resource Dependency Theory. Result The findings indicate that institutional autonomy is constrained by centralized governance and political interference, limiting universities’ ability to make independent decisions, as explained by Institutional Theory. Administrative autonomy faces similar restrictions, with decision-making influenced by external entities, as highlighted by Principal-Agent Theory. Academic autonomy is challenged by the tension between standardization and institutional diversity, particularly in quality assurance and accreditation. Financial autonomy is limited by restricted revenue sources, economic instability, and a lack of innovative funding strategies, as discussed through Resource Dependency Theory. Conclusion The study concludes that Ethiopian public universities face significant barriers to autonomy. Addressing these challenges requires reducing strict governmental control, improving governance structures, and promoting independent decision-making and sources of incomes. Recommendations The study recommends implementing governance reforms, providing leadership training for university administrators, enhancing academic freedom with flexible quality assurance systems, and diversifying revenue streams through partnerships and expanded university enterprises to ensure financial sustainability.
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