BUDGET 2015-16 WISHLIST: Education sector

Key developments

• Credit transfer system for students
• Schemes like Padhe Bharat Badhe Bharat, Beti Bachao Beti Padhao, Campus Connect, Know Your College, Unnat Bharat
• Human resource development ministry's proposal to roll out a new education policy in 2015-16

Key issues

• Regulatory ambiguity & policy: The 'not for profit' clause and an unclear regulatory regime remain investment deterrent
• Market relevance: In an internet-driven world, the needs of society and businesses are changing. New products, services and business models are making the existing ones redundant. It is necessary for institutions to produce graduates with skills to hit the ground running when they become professionals. This requires a change in faculty mindset, curriculum updates in consultation with industry, and interaction among industry and academic institutions at multiple levels.
• Private participation: Encouraging private-sector participation in the formal school and higher education sector is a challenge. The regulations inhibit corporate players with the required technical & managerial skills and resources from operating in India's education sector.
• Incentives for infra: The education sector suffers from lack of physical infrastructure. To bridge this gap, the government should consider harnessing the private sector for creation of physical infra. While corporate-social responsibility has become a channel for corporate funding, there is a need for entrepreneurial investment and participation.
• Learning outcomes: There is an acute shortage of qualified, trained and motivated faculty across the education sector. This, outdated curricula & teaching methods and deficient physical infra lead to low education quality, and to poor learning outcome in the K-12 segment. Recent surveys highlight a large proportion of school students is unable to perform at the levels expected. Also, employers in IT and financial sectors, among others, indicate over 75 per cent of qualified candidates lack key "employability" skills.

CEO BYTE

"We hope the new govt's first full-fledged Budget will address the urgent need for education reforms. We already have a positive indication on that in the new policy being developed. But more radical steps need to be taken for a big leap to make up for decades of underinvestment"

Shantanu Prakash
CMD, Educomp Solutions


EXPERT VIEW

Business Standard had invited readers' queries on the Budget for 2015-16. PwC India expert answers the best question

Dhiraj Mathur,
Partner & leader (education), PwC India

'No plans to regulate private coaching'

What are the reforms expected in the education sector? Are there plans to regulate private coaching classes and ensure proper spending of government funds allotted for primary education? - Anand Drolia

The government is likely to roll out a new education policy in 2015-16. Some of the key initiatives likely this financial year include introduction of a credit transfer system for students, and schemes like 'Padhe Bharat Badhe Bharat', 'Beti Bachao Beti, Padhao Abhiyaan', Campus Connect, Know Your College, Unnat Bharat Abhiyan, Study Webs of Active-Learning for Young Aspiring Minds (Swayam).

To the best of our knowledge, there are no plans to regulate private coaching classes. But some states like Bihar already have mandatory provisions for registration of coaching classes. There are several mechanisms to track, monitor and audit expenditure on primary education by both the government and the Comptroller and Auditor General, as well as independent agencies.