Mixed views on IIM-B fee hike

Updated on: Tuesday, September 08, 2009

The Indian Institute of Management, Bangalore (IIM-B) hiked its fee by Rs.25,000 (to Rs.5.25 lakh) for the first year and by Rs.50,000 (Rs.5.50 lakh) for the second year of the Post-Graduate programme. This hike will be implemented for the 2009-10 batch. At a time when the world is witnessing a recession and slow growth, jobs are not easy to come by. There is no doubt that IIM-B is one of India’s top B-schools, but does that justify the fee hike? The Hindu-EducationPlus interviewed PG students from IIM-B and got their reactions on the subject.

Kshitij Sheth: If we want the quality of education to improve and the IIMs are to compete with business schools worldwide, we need to ensure that the institution has funds to address key issues.

A recession may mean a slightly lower starting salary, but a small hike should not be a factor, especially when loans are made available at lower rates. That said, tangible improvements must be seen to justify these fee hikes, especially in this recessionary environment.

Abhishek Humbad: The fee hike is justified given the fact that the additional money is used for developing infrastructure and adding to the quality faculty pool.

The institute has simultaneously increased financial aid to needy students, thus ensuring that no deserving candidate loses out because of the fee hike.

The recession hasn’t affected the placements drastically and given the salaries that IIM graduates earn post MBA.

The current fee is still much below international standards and if the IIMs have to match Harvard, Stanford and Wharton, the fee hike is necessary to have the best faculty, infrastructure and placements.

Arun Ramakrishnan: After spending nine years in the U.S., I had the option of pursuing a management degree from either an American or an Indian business school.

However, I wanted to settle down in India, and this was the primary reason behind my return to India and my joining IIM Bangalore. As far as I am concerned, a two-year management degree from one of the best schools in India is still only one-fifth the cost of the same degree in the U.S.

S. Archana: The increase in fee ensures a richer pedagogy which defines the quality of businessmen they foster. It also provides for infrastructure improvement which in turn translates into better and wider resources and exposure to students.

Availability of ample capital eases industry interaction and builds the competence of the institute in the international scene. The ready availability of educational loans further justifies the fee hike.

Mixed views on IIM-B fee hike

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