Budget 2020 – What’s In It For The Indian Education Sector


  • Indian Finance Minister Ms. Nirmala Sitharaman announces Rs 99,300 crore outlay for education sector in 2020-21. This is a modest increase of 4.4% over the 2019-20 allocation of Rs 94,853.64 crore.
  • For Skill Development, Rs 3,000 crore have been allocated.
  • By 2030, India will have largest working age population and government will work to provide required skills for them to get into jobs.
  • There’s a global demand for teachers, medical and para-medical staff and the country will start a bridge program to tap these sectors and fill out the employment gap.
  • To bring foreign students to Indian campuses, the Finance Minister proposed to start an Ind-SAT exam under a ‘Study in India’ scheme, to enable evaluation and study of students from Asia and Africa who seek admission here. Currently there is no standard examination for foreign students arriving in India to study. It will create a level playing field for students from different countries.
  • There will be degree-level full-fledged online education programmes by institutions ranked in the top 100. University Grants Commission (UGC) has already approved seven institutions – IGNOU, Amity, JSS Academy, Manipal Aacdemy, Bharatiya Vidyapeeth, Dr D Y Patil Vidyapeeth, and Shanmugha Academy – to offer online programmes.
  • The Centre proposes to attach medical colleges with district hospitals on PPP model to deal with the shortage of doctors. PPP stands for Public-Private Partnership. It is a funding model for large, public infrastructure projects such as education, power plants, highway development, telecom systems, etc which are capital intensive. The public partner is the government (local, state and/or national level). The private partner can be a public corporation, a privately-owned business, or a consortium of businesses with a specific area of expertise.
  • Urban bodies will be allowed to provide one-year internship to engineering students.
  • Government has also opened up higher education to foreign direct investment (FDI) and external financial borrowings.
  • A partnering foreign institute will be able to bring in funds and set up a centre at the Indian institute. There are more than 340 private universities in India that could stand to gain from this move.
  • A National Police University and a National Forensic Science University for forensics, cyber-forensics were announced in this budget.
  • A bridge course would be designed in conjunction with professional bodies to improve skill-sets of teachers, nurses, para-medics and care-givers.

The complete budget can be found on indiabudget.gov.in



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