The announcement was made in the night at a Regent board meeting, said Vice-chancellor Professor Dr Rostam Ali.
As per the decision, the students have been asked to vacate their dormitories by Tuesday morning.
Meanwhile, additional police have been deployed in the campus to avoid any untoward situation, he said.
University sources said that students staged demonstration in the campus on Monday demanding to fulfill their six-point demand. The students also kept the VC confined in the registrar building.
Their demands include cancellation of airdrop system, all the batches after 2015-16 to be included under ordinance, to provide subsidy for food in dining of halls, to solve rooms and chair crisis, to solve transport crisis, take steps to introduce wifi system in the campus and setting up police outpost for the security of the students.
Tensed situations were prevailing in and around the campus due to the Students' protest, said Obaidul Haque, officer-in-charge of Sadar Police Station.
The students, however, said the university authorities assured them of fulfilling their demands around 3-4 months ago, but till now, no effective steps were seen.