With allocation for education getting a quantum jump during the 11th Plan period, all eyes are now on the finance minister as to what he does for the sector in the forthcoming Budget. The National Development Council (NDC) has already approved Rs 2,77,837 crore for the sector in the 11th Plan – a huge increase compared to the Tenth Plan allocation of a meagre Rs 54,238 crore. Moreover, National Knowledge Commission (NKC) has pointed out that any further delay in education sector reforms would be too late.
The government has set a target of 15% for gross enrolment ratio (GER) in higher education by 2011-12, from the current level of 10% GER. The government has already announced setting up of new institutes – eight IITs, seven IIMs and 30 central universities apart from the five Indian Institute of Science and Research (IISERs). It also intends to open 370 new colleges in educationally backward districts in the current Plan period.
But these steps may not be enough to achieve 15% GER in higher education. Apart from focusing on smaller towns, rural as well as remote areas and backward regions where GER is lower than the national average, the government needs to bring in intensive public-private participation in the sector. GER in the backward regions in higher education is barely 5%. In case of SC/ST, it is at 6%.
The industry believes that for any substantial investment to pour in from private sector, unnecessary intervention from regulatory authorities such as UGC and AICTE needs to be curtailed. Even, NKC has recommended setting up of an Independent Regulatory Authority for Higher Education (IRAHE).
The government also needs to give incentives for setting up educational institutions. In fact, India Inc has recently suggested setting up of SEZs, dedicated to education. However, government?s indecisiveness in passing the Bill to allow foreign universities in India does not give much confidence.
The government also needs to put in place an authority, which will keep a close eye on quality of education offered by the institution in the country. As per the estimates of the Planning Commission, close to 60% of graduates are considered unemployable by the industry. The Planning Commission has even gone on to the extent to suggest that the human resource development ministry make it mandatory for universities to have industry representation in its curriculum-deciding committee.
India Inc has been complaining severe skill shortage in the country and has been demanding establishment of good quality vocational education institution across the country.
A recent Ficci survey has identified four areas, such as textiles, agriculture (including agro-processing), construction and retail, which can contribute significantly in job creation.