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Unlike public universities, private universities generally do not receive direct operational funding from national or subnational governments and thus rely on private sources of funding, such as tuition fees and alumni donations. Depending on the region, private universities may be subject to government regulation.

Private universities are common in Bangladesh, Brazil, China, Chile, Egypt, India, Indonesia, Iraq, Ireland, Japan, Lebanon, Malaysia, Mexico, Pakistan, Portugal, Saudi Arabia, South Korea, and the United States but do not exist in some countries. Tuition fees at private universities tend to be much higher than at public universities.^[1]

Since Bond University's foundation, the University of Notre Dame Australia has also been founded as a private university, in 1989. They remain Australia's only private universities.^{[citation needed]}

In Austria, institutions must be authorised by the state to legally grant academic degrees. In 1999, a federal law (Universitäts-Akkreditierungsgesetz) was passed to allow the accreditation of private universities. The Akkreditierungsrat (accreditation council, [5]) evaluates applicants and issues recommendations to the responsible accreditation authority, the Austrian Federal Ministry of Science and Research.

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