The 13th Finance Commission has sanctioned Rs 25 crore to set up the university to be set up at the premier Maharaja Bir Bikram College, a top level college here, Sarkar said.
Tripura has two universities -- a central one and a private technical university.
The state government worked out a ten-year perspective plan for education in which setting up of the university was included, Sarkar said in his speech during the foundation stone laying ceremony of a new Rajbhavan here.