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The 2021 Indian Union budget announcement for Education and Skills: Reinvigorating Human Capital

by Sandeepa Sahay
04/03/2021
Higher Education Institutions, Further Education Institutions, Schools & Independent Colleges, ELT Providers, Agents/Advisors & School Counsellors

India’s central government has announced its budget for 2021, which includes a total of INR 932 billion (GBP 8 bn) allocated to education and is estimated to be 3.5 per cent of national GDP. 

The headline figure represents a six percent reduction in the national education spending plan from last year. However, this is only a partial picture as it does not include state-level spending plans, which account for the majority of education expenditure, or private spending on education. Education is a concurrent subject in India’s constitution, which means that both the national and state governments have powers to legislate, finance, design and implement programmes. Most of the delivery of education provision takes place at the state level.   

This article provides a breakdown of the national spending plans and analyses the implications and opportunities for UK education institutions. The focus of the national education and skills budget is primarily around the new National Education Policy 2020  (NEP), International Research Collaboration, Higher Education Commission and Apprenticeships. 

There have been mixed views to the education budget estimates as some expected more allocation in view of the learning crisis faced (like most nations) due to the pandemic; while others expected that the government would choose to prioritise health and allied sectors over education. The graph below displays the education and skills budget as a proportion of the total budget in the central government’s spending plan.

The second graph presents disaggregated budget estimates for the overall national-level education spending plan with its two key sub-sectors: School Education and Higher Education.

We have identified key announcements from the budget where we see potential for international engagement and collaboration opportunities for the UK. Our sector-wise detailed analysis aims to provide interpretation of the intent, expected direction of travel, and the possible alignment within the scope of wider internationalisation.

 

School Education

Key highlights

Opportunity for UK

More than 15,000 schools will be qualitatively strengthened to include all components of the National Education Policy. They will emerge as exemplar schools in their regions, handholding and mentoring other schools to achieve the ideals of the NEP. It appears from budget allocation of Kendriya Vidyalaya and Navodaya Vidyalayas that these are likely being targeted for the improvement to new NEP standards.

 

Alignment area: Partnership/Consultancy

 

This may open avenues for international collaboration and partnership opportunities for the UK schools to develop innovative models based on good practice from the UK. It is highly likely that there will be opportunities for paid consultancy services, particularly in school quality standards framework including audit of teaching, curriculum, assessment, school governance, leadership, inclusive practices etc. 

 

 

Standards will be developed for all school teachers in the form of National Professional Standards for Teachers (NPST). This will enhance the capabilities of teachers and will be followed by all 92 lakh teachers (~9.2 million) of public and private school system in the country.

 

Alignment area: Partnership/Consultancy

 

This may present opportunities for long-term paid consultancy in developing country-level professional standards framework for teachers based on international best practice.

 

It is likely that mapping of the existing face-to-face and digital resources for teachers against the newly developed framework will create demand for developing additional resources. This will mean creating new programmes and training teachers aligned to the new framework which could be resourced through paid consultancy, partnership, and collaboration opportunities. 

 

A National Digital Educational Architecture (NDEAR) will be set up within the context of a Digital First Mindset where the Digital Architecture will not only support teaching and learning activities but also educational planning, governance and administrative activities of the Centre and the States/ Union Territories (UT). It will provide a diverse education eco-system architecture for development of digital infrastructure, a federated but inter-operable system that will ensure autonomy of all stakeholders, specially States and UTs.

 

Alignment area: Consultancy

 

This is likely to lead to paid consultancy opportunities for integrated web design architecture for software companies/ organisations/ programmers especially those who have experience in designing these platforms for EdTech organisations.  

During the year, despite the COVID-19 pandemic, more than 30 lakh (~3 million) elementary school teachers were trained digitally, covering the 42-whole gamut of education. Taking this further, in 2021-22, training of 56 lakh (~5.6 million) school teachers will be carried out through the National Initiative for School Heads and Teachers for Holistic Advancement (NISHTHA).

 

Alignment area: Partnership

 

This is likely to open avenues for partnership opportunities for teacher resource development and setting up of innovative practices such as online platforms and digital communities of practice that advocate peer learning and exchange of ideas. The Indian government initiated a programme called NISHTHA for which resources were developed and a complete management information (system put in place. All govt school teachers and Head Masters are to undergo this training which focusses on teaching pedagogy and practice. 

 

Central Board of Secondary Education (CBSE) Board Exam reforms in a phased manner to be effective from the 2022-23 academic session. Exams will move away from rote-learning and students will be tested on their conceptual clarity, analytical skills, and application of knowledge to real life situations.

 

Alignment area: Consultancy

 

This opens new avenues for paid consultancy opportunities for systemic reforms, particularly for curriculum, pedagogy, and assessments. CBSE has already started work in this area and the British Council’s efforts have led to exchange of UK knowledge and expertise between three UK agencies Cambridge, UK NARIC and Alpha+ and the CBSE. Their inputs have been very well received and there is intent to continue such partnerships in the future. This engagement may lead to further opportunities in this sector.

 

 

 

Higher Education

Key highlights

Opportunity for UK

The Union Government plans to introduce legislation to establish a new regulatory body, the Higher Education Commission of India. This is in keeping with the announcement made in the previous budget. It will be an umbrella body having four separate vehicles for standard-setting, accreditation, regulation, and funding for colleges and universities. 

 

Alignment area: Partnership/Consultancy

 

This is in continuity of the reforms for the Indian higher education sector and moving a step forward for the new regulatory body to be established. It may present a long-term consultancy opportunity for shaping up the appropriate architecture, systems and processes building on best practices from around the world. There may also be opportunities for collaboration and partnerships with the UK HEs on standard setting and assessment reforms particularly. The area is crowded and competitive with many international agencies eager to fill this space.

To promote enhanced academic collaboration with foreign higher educational institutions, the Union Government proposes putting in place a regulatory mechanism to permit dual degrees, joint degrees, twinning arrangements, and other such mechanisms.

 

Alignment area: Mobility/Research

 

It is likely that this will lead to enhanced reciprocal mobility of students – including larger numbers of Indian students who would not be able to take a full UK course taking joint or dual degrees through different models of partnerships and Transnational Education (TNE) that are likely to evolve with these measures. It will allow UK universities to access more of the education market share and extend its current reach even further.

 

The University Grants Commission (UGC) has produced draft regulations for dual degree and credit transfer programmes and we understand that these will be announced shortly.

 

This measure will also enhance cooperation in research and innovation between academics and researchers.

 

The biggest barrier to fully leveraging the opportunity is the current state of ambiguity in the recognition of qualification of UK in India and vice versa. The British Council is currently leading a bilateral taskforce working on achieving mutual recognition of academic qualifications. It has representation from all relevant UK agencies such as UUKi, NARIC, QAA, DfE. Preliminary results of the discussion are likely to emerge by May 2021.

 

Special funding has been earmarked for another big reform, credit-based education, for which an Academic Board of Credit will soon be set up.

 

Alignment area: Mobility

 

This is in line with the NEP. It means credit recognition / transfer agreements will become simpler for Indian students and Higher Education Institutions (HEIs) will find it easier to accept students from Indian institutions at any point in their education journey. If students decide to defer going to the UK by a year, they can simply transfer credits and join later and continue their journey. Traditional mobility timelines are no longer the only options. This would make it easier for UK HEIs to admit students mid-way through their degrees perhaps even increasing their intake numbers.

This enables a standardised agreement on UK-India HEI partnerships and collaborations as well around credit transfer, making the process easier.

Academic flexibility ensures students would not lose time, effort, and money if they change their HEI or do not complete the full course.

Many Indian cities have various research institutions, universities, and colleges supported by the Government of India. Hyderabad for example, has about 40 such major institutions. In nine such cities, the Union Government will create formal umbrella structures so that these institutions can have better synergy, while also retaining their internal autonomy. A Glue Grant will be set aside for this purpose.

 

Alignment area: Partnership

 

This implies consolidation of various institutions at city level. It will streamline engagement processes and partnership opportunities with external partners including international institutions. It could facilitate broader strategic partnership for greater mutual benefits and knowledge exchange. 

Research funding will now be routed through the new National Research Foundation (NRF) for both the school department and higher education department. The NRF will have outlay of ₹50,000 crore (~GBP 5 bn) over five years

 

  • State universities and private universities will now be able to access research grants from the NRF on a competitive basis. The Office of the Principal Scientific Adviser will play a pivotal role in implementation of the NRF.

 

  • The NRF will ensure that the overall research ecosystem of the country is strengthened, with focus on identified national priority thrust areas.

 

 

Alignment area: Research

 

The research ecosystem is being bolstered through setting up a single entity backed with committed funding for five years. This will provide for a coherent strategy for research with established priorities of national importance. The NRF will have four core areas – Sciences, Technology, Social Sciences, Arts and Humanities. Paid consultancy as well as partnership opportunities are likely for joint research programmes and activities in these areas.

 

 

 

 

 

 

 

Skills

Key highlights

Opportunity for UK

The Government proposes to amend the National Apprenticeship Promotion Scheme 2016 Apprenticeship Act with a view to further enhance apprenticeship opportunities for youth.

 

Alignment area: Partnership/Consultancy

 

This means that the amendment process to the current Apprenticeships Act will be put in motion, and when the details of the amendment are made public, it will provide insights on prospective areas for international partnerships. We think it might include innovative models for employer engagement, content development, institutional capacity building, CPD, knowledge and know how exchange.

 

Realigning the National Apprenticeship Training scheme (NATS) for graduates and diploma holders in Engineering. The Union Government will realign the existing National Apprenticeship Training Scheme. Over INR 3,000 crores (~GBP 30 million) will be provided for this.

 

150 Higher Education Institutions to begin apprenticeship embedded degree/diploma courses by March 2021. A programme under which urban local bodies across India would offer internship opportunities to fresh engineers for one year will also be launched.

 

Alignment area: Partnership/Mobility

 

Opens new avenues and partnership opportunities for the UK FE and HE sectors to work closely with Indian HEIs at local and national levels on a long-term curriculum consultancy, content development and faculty training, such as the UK degree apprenticeships.

 

Potentially interesting for large UK and Indian employers looking at delivering apprenticeships. Opportunities for TNE and students’ mobility. 

 

Many Indian HEIs would like to have access to world-class technical knowledge and systemic support to take these initiatives forward based on mutually beneficial partnerships.

Initiatives for partnership with other countries in skilling to be taken forward, similar to partnership with (i) UAE to benchmark skill qualifications, assessment, certification, and deployment of certified workforce and (ii) Japan for a collaborative Training Inter Training Programme (TITP) to transfer skills, technique, and knowledge.

 

 

These are new strategic partnerships focussed on skills development and mutual recognition of qualifications to primarily meet the demand for skilled workforce in other countries. This is looking at Indian exports to other countries.

Authored by Sandeepa Sahay, Assistant Director Skills
British Council, India

 

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