Union Budget: How Indian education could benefit from more equitable, comprehensive and dynamic policies

Education is the pillar of economic growth. In developed countries in the West, investments made in education and related infrastructure - especially during the middle of the previous century - have played a critical role in the overall development of these countries. In India, the most significant overhauls of the education system were undertaken in 2020, 1986, 1968 and 1948. Today, the Indian education system is considerably larger than it was in 1950. Back then, we had 20 universities, 496 colleges, and approximately two hundred thousand students enrolled in higher education. Today, India has more than 1,150 universities, 43,000 colleges, and 41.14 million students enrolled in higher education! Yet having so many students enrolled in higher education has led to a crisis – the crisis of numbers. Consider that today, the US spends approximately 6 per cent of its $25 trillion GDP on education. That country produces just 132,000 engineers annually. India, whose economy is approaching the $3 trillion mark, produces 1.5 million engineers annually. Many such engineers aren’t employed productively in India because they are too numerous and chase too few jobs. The crisis of numbers extends to graduates as well. Most studies by the World Bank and FICCI have found that a mere 35 to 36 per cent of Indian graduates are employable. With high enrolment numbers in India, education has become less relevant. Together, the crisis of numbers coupled with the crisis of relevance has led to a crisis of identity for the higher education system in India. These three crises have laid the seeds of a financial crisis. The New Education Policy (NEP) is a step in the right direction to resolve these crises. National Education Policy The NEP is highly innovative and pathfinding because it’s designed to make learning more flexible, and it has an interdisciplinary approach, creates multiple exit points, defines the three tiers of education, catalyses research in a unique manner, and perhaps most importantly, focusses on improving support to faculty - the backbone of any education system. Unlike earlier policies that focussed on brick-and-mortar solutions, the NEP focuses on educators who nurture young minds. The NEP is the first education policy in India that’s incorporated with all these unique features. With NEP’s introduction, the education system in India is expected to take a different direction. It was only in 2020 that India came to comprehend what higher education system was best for the country. Though such an understanding was present in 1986 and 1968; however, when it came to imbibing the practices of what was needed, we fell short. The NEP signals a paradigm shift in terms of higher education in India because it makes education more quality-driven and relevant to society’s needs. What remains to be seen is how well the NEP is implemented. How to catalyse change in Indian education What is needed more than ever today are technology solutions that can scale higher education without compromising on quality. Equally important is recruiting faculty and professors who are highly passionate about teaching and learning. Currently, many in India become educators because they don’t find opportunities elsewhere. Conversely, in leading education institutes abroad, those who become teachers or join academia are passionate about teaching. When passionate faculty are supported by technology in India, it will pave the way for a far superior education system. Also, research in academia needs to become more fruitful. Thus far, concerning research, the Indian education system has been the least innovative of all sectors in India. It has introduced the least number of innovations. In the years to come, with the introduction of the NEP, this cannot and will not continue. The Indian education sector will become much more innovative. Government actions that can spur change The government needs to introduce technologies that help scale education without compromising on quality. Higher education should be incentivised to adopt such technologies. The government should make provisions for such technologies in the upcoming budget. The education budget should be increased from approximately 4 per cent to 6 per cent of GDP. Also, Indian universities - whether public or private - that implement the NEP and improve their performance as a result, should be allocated more funds and be recognised. Research investment should increase. Today India spends just 0.65 to 0.7 per cent of its GDP on research. These figures need to change. Equally importantly, investments in research should be designed such that they yield benefits that contribute to the production of goods and services and increase GDP. Research should lead to patents, innovations, and more startups, and increase the productivity of the manufacturing sector. The future knowledge-based economy will be based on innovations which are a direct product of research. We need to prepare. The road ahead The Indian education system can prove a force for tremendous good for the entire world in the years ahead. India is presented with a huge opportunity to serve the human development needs of the global economy, provided we create an education system that is relevant to the needs of the global industry. Creating such an education system would require significantly higher investment in India’s top-ranked institutes. Consider that the world’s top universities enjoy endowments of anywhere between $10 to $50 or $60 billion. They invest a hefty sum on each student. The best universities educate the most talented students for free. All such financial modelling is made possible by the vast endowments these universities enjoy. Also, Indian universities need to understand the human resource requirements of other countries. To meet these requirements, Indian Universities need to collaborate with overseas universities. The only way such collaboration will happen is when it benefits Indian and overseas universities. Professionals need to be imbibed with an attitude that motivates them to continue learning well after graduation. Educational institutes need to create an entrepreneurial mindset in students. Students should be trained to think innovatively and taught leadership skills that help them manage challenging situations. In short, we need to assess what constitutes a relevant and quality education in a global context. Such an assessment will help develop better programs and aid in competency building. We must remember that in the end, what matters is not one’s language or culture but the ability to deliver results. Even poor communication is overlooked when an individual produces results. The author is Senior Professor, Department of Economics and Finance and Dean Alumni Relations, BITS Pilani, Pilani Campus. Views expressed in the above piece are personal and solely that of the author. They do not necessarily reflect Firstpost’s views. Read all the Latest News, Trending News, Cricket News, Bollywood News, India News and Entertainment News here. Follow us on Facebook, Twitter and Instagram.