The university had suspended the union following a protest by students demanding school identity cards, which had been paid for but never issued.
The University of Ibadan has lifted its ban on students' union activities two years after a suspension.
According to an official of the institution, Tunji Oladejo, the Senate reached a concensus during its meeting on Friday and decided to lift the ban.
The university had suspended the union following a protest by students demanding school identity cards, which had been paid for but never issued.
Vice Chancellor of the institution, Idowu Olayinka, accused the students' union leaders at the time of disrupting the academic calendar of the school.
He accused former president of the union, Ojo Adereni, of insubordination and disrespect.
Adereni was later rusticated by the disciplinary council of the school.