Education and skills: Trends that will reshape learning

November 15, 2021 6:30 AM

Four emerging trends will shape the future of education, skilling and edtech in India

Third, to support this transition, innovative finance models for education financing, both for students and institutions, are coming to the fore.Third, to support this transition, innovative finance models for education financing, both for students and institutions, are coming to the fore.

By Amit Bhatia

The Covid-19 pandemic brought about a transformation of the Indian education system, perhaps equalled in importance only by the right to universal education. It hauled us into the future with unprecedented swiftness as we were forced to shun traditional methods of learning. It also brought the opportunity to build a resilient, hybrid and inclusive education ecosystem backed by technology, which will create a cohort of students and young professionals equipped to face the new digital world.

As we move to a reinvented education system, four emerging trends will shape the future of education, skilling and edtech in India.

Firstly, technology-enabled pedagogies and app-based learning will dominate the Indian education system in the next decade. Online learning and edtech platforms have perhaps seen highest growth during the pandemic. It is no surprise that India is now home to five edtech unicorns (start-ups with over $1 billion valuation), which are Byju’s, Unacademy, UpGrad, Eruditus and Vedantu. According to the Ministry of Education’s June 2020 Digital Education report, 250 million students have benefited from the government’s digital initiatives. Reports peg the number of Indian edtech start-ups at 4,450. Of these, 186 unique edtech start-ups have raised $1.73 billion in funding since 2014.

Second, the coming years will see significant investments in the supplemental education and test preparation market, two traditionally offline segments in the Indian market that have now had to quickly move online. As per a recent survey, supplemental and extracurricular education will see unprecedented growth from $19.5 billion in 2020 to $138 billion by 2030, whereas online test preparation revenues will grow from $731 million in 2020 to $4.5 billion in 2030. We have seen how companies like Cuemath, Lido, Quizizz and PlayShifu in supplemental education and Toppr, Adda247, Testbook and CareerWill have seen great success, making education affordable and inclusive.

Third, to support this transition, innovative finance models for education financing, both for students and institutions, are coming to the fore. Start-ups such as Varthana, LeapFinance, Auxilo, Eduvanz, Credenc, Creditap, EarlySalary are offering collateral-free K12 education loans. Affordable education loan platforms in India are expected to grow annual revenues to $743 million in 2030, from $135 million in 2020. We are also likely to see the rise of newer models of finance such as impact bonds and outcome funds.

Finally, a hybrid work economy and an upskilled workforce will disrupt the traditional ways of working. With 15 million freelancers, the gig economy in India has the potential for up to 90 million jobs adding up to 1.25% to India’s GDP in the long run. Upskilling via micro and alternate credentials has played a major part in making the gig work culture a reality in India.

Research suggests that the digital transformation of education will drive total education and skills annual investments to $19 billion and annual revenues to $313 billion by 2030, impacting 429 million students and creating 17 million jobs. The government has been a consistent crusader for this transformation and has encouraged its adoption through conducive policies. With tech platforms and edtech organisations working in line with the government’s agenda, access to technology education, teacher training and student skilling are bound to improve. This will create a more collaborative, student-centred and democratised education system with the learning outcomes that we have always envisioned for our children.

The author is founder of Aspire Circle and Aspire Impact, and formerly inaugural CEO of The Global Steering Group for Impact Investment & founding CEO of India’s Impact Investors Council

Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, Check out latest IPO News, Best Performing IPOs, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1CBSE Class 10, 12 first-term Board exams: Important rules students should remember while answering on OMR sheets
2Uttar Pradesh Teachers Eligibility Test: UPTET Exam cancelled following paper leak — check new exam date
3Karnataka Common Entrance Test: KCET 2021 seat allotment results out — Check college admission and reporting dates