NEP National Education Policy 2020 > FInancing Education
NEP National Education Policy 2020 India
Chapter 26. Financing: Affordable and Quality Education for All
26.1. The Policy commits to significantly raising educational investment, as there is no better investment towards a society ’s future than the high-quality education of our young people. Unfortunately, public expenditure on education in India has not come close to the recommended level of 6% of GDP, as envisaged by the 1968 Policy, reiterated in the Policy of 1986, and which was further reaffirmed in the 1992 review of the Policy. The current public (Government - Centre and States) expenditure on education in India has been around 4.43% of GDP (Analysis of Budgeted Expenditure 2017-18) and only around 10% of the total Government spending towards education (Economic Survey 2017-18). These numbers are far smaller than most developed and developing countries.
26.2. In order to attain the goal of education with excellence and the corresponding multitude of benefits to this Nation and its economy, this Policy unequivocally endorses and envisions a substantial increase in public investment in education by both the Central government and all State Governments. The Centre and the States will work together to increase the public investment in Education sector to reach 6% of GDP at the earliest. This is considered extremely critical for achieving the high-quality and equitable public education system that is truly needed for India's future economic, social, cultural, intellectual, and technological progress and growth.
26.3. In particular, financial support will be provided to various critical elements and components of education, such as ensuring universal access, learning resources, nutritional support, matters of student safety and well-being, adequate numbers of teachers and staff, teacher development, and support for all key initiatives towards equitable high-quality education for underprivileged and socioeconomically disadvantaged groups.
26.4. In addition to one-time expenditures, primarily related to infrastructure and resources, this Policy identifies the following key long-term thrust areas for financing to cultivate an education system: (a) universal provisioning of quality early childhood care education; (b) ensuring foundational literacy and numeracy; (c) providing adequate and appropriate resourcing of school complexes/clusters; (d) providing food and nutrition (breakfast and midday meals); (e) investing in teacher education and continuing professional development of teachers; (f) revamping colleges and universities to foster excellence; (g) cultivating research; and (h) extensive use of technology and online education.
26.5. Even the low level of funding on education in India, is frequently not spent in a timely manner at the District/institution level, hampering the achievement of the intended targets of those funds. Hence, the need is to increase efficiency in use of available budget by suitable policy changes. Financial governance and management will focus on the smooth, timely, and appropriate flow of funds, and their usage with probity; administrative processes will be suitably amended and streamlined so that the disbursal mechanism may not lead to a high volume of unspent balances. The provisions of GFR, PFMS and ‘Just in Time’ release to implementing agencies will be followed for efficient use of government resources and avoiding parking of funds. Mechanism of performancebased funding to States / HEIs may be devised. Similarly, efficient mechanism will be ensured for the optimal allocation and utilization of funds earmarked for SEDGs. The new suggested regulatory regime, with clear separations of roles and transparent self-disclosures, empowerment and autonomy to institutions, and the appointment of outstanding and qualified experts to leadership positions will help to enable a far smoother, quicker, and more transparent flow of funds.
26.6. The Policy also calls for the rejuvenation, active promotion, and support for private philanthropic activity in the education sector. In particular, over and above the public budgetary support which would have been otherwise provided to them, any public institution can take initiatives towards raising private philanthropic funds to enhance educational experiences.
26.7. The matter of commercialization of education has been dealt with by the Policy through multiple relevant fronts, including: the ‘light but tight’ regulatory approach that mandates full public self-disclosure of finances, procedures, course and programme offerings, and educational outcomes; the substantial investment in public education; and mechanisms for good governance of all institutions, public and private. Similarly, opportunities for higher cost recovery without affecting the needy or deserving sections will also be explored.
( Source : PDF of National Education Policy 2020 at Ministry of Education, India website.)
Sponsored: Get FREE 1 Audiobook of Choice from thousands + FREE 1 month trial (Cancelable) from Audible India.
Books that speak to you. No need to read. LISTEN.