Govt for privatisation of higher education

Updated on: Wednesday, December 08, 2010

Providing recommendation to increase private partnership as a possible financial model to enhance investments in the education sector, the government has recommended raising fees in higher education institutions and allowing schools to function as profit-making bodies with a regulatory mechanism in place.

For students belonging to weaker sections, there could be provision for financing grants for pursuing higher education, repayable after students start earning so as to ensure sustainability of the system, Mid-Year Analysis for 2010-11 tabled in the Lok Sabha recommended

While appreciating the creation of new institutions and various reforms proposed by the Ministry of Human Resource Development, including establishing a National Commission for Higher Education and Research (NCHER) as an overarching regulatory body for higher education, the analysis, nevertheless, says adequacy of teachers — both in numbers and quality — remains a major concern.

Several universities need to be reoriented to the changing situation and demands in the job market. Many are simply out of touch with the modern systems.

Quality of education is another major issue, it pointed out. Highlighting that a select number of institutions in the country do offer world class education, in most institutions the quality is quite unsatisfactory without a continuous effort to upgrade standards, teaching methods, content of learning and quality of teachers, it says.

Striking a caution note on the proposal to allow foreign educational institutions to function in India, the Mid-Year Analysis says there is a need to see that these institutions, as permitted under the Foreign Educational Institutions (Regulation of Entry and Operations) Bill, 2010, do not misuse the system. This is possible if they have low stakes in the overall system and make minimum investment in infrastructure and faculty. They should be encouraged to fund their Indian campuses for sensitive, cutting-edge research.

Virtually disagreeing with the position that schools could be run only as non-profit trusts, the report points out that private schools are already making huge profits. Therefore, it is advisable to discontinue with the non-profit trust requirement and allow schools to make profit. At the same time, a regulatory structure can ensure that a certain number of students from the weaker sections are also enrolled. Such a system, if strictly regulated and enforced, would encourage competition, be transparent and inclusive and ensure the flow of much-needed supplementary capital in this field.

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