Higher education in Nigeria is the education given after secondary education in universities, colleges of education, polytechnics, and monotechnics including those institutions offering correspondence courses. The University system serves as a magnet for students from neighbouring countries. The goals are in consonance with those envisioned by the World Conference on Higher Education held in Paris from 5th to 9th October 1998. Undoubtedly, higher education is a specialized form of human capital serving as an engine of development in Nigeria by producing men and women with professional skills. This attainment has been stimulated, in part, by interest among educators and trainers in the use of new internet- based information technologies. Indeed, higher education in Nigeria is considered in relation to global economic, social and cultural development. In this connection, the Federal Government of Nigeria has problems. The governments have not been able to provide the financial resources necessary to maintain educational quality in the midst of enrolment explosion. The paper sees the need for universities to create a niche for themselves by specializing in areas of comparative advantage and encourages specialized universities of agriculture, technology, education and business studies. Additionally, the paper advocates the establishment of more private universities in Nigeria.