The paper critically examined ultimate evaluation in education as a panacea for functional and effective university education in Nigeria. It argued that university education which is the apex level of education in Nigeria should inculcate in students the specialized skills required to contribute for development within and outside the country. It further argued that formative and summative evaluation carried out in universities are not without certain limitations, hence could not provide the needed valid feedback on identified users’ needs, set objectives, content adequacy, effectiveness, suitability and relevancy of university programmes in line with global dynamism of 21century. In view of the above, ultimate evaluation is extensively described, its place in ensuring functional university education especially for Nigeria highlighted. Compulsory, and periodic ultimate evaluation of university programmmes was recommended.