This article gives a brief overview of the opportunities in India's higher education sector. The below quoted stats are taken from a FICCI report on higher education in India(based on the twelfth five year plan) and UGC's annual report 2010-11.
Gross Enrolment Ratio (GER) in higher education in India is still about 18%, which is far lower than the global average of 26%. Therefore, the Indian government has set itself an aggressive target of achieving 30% GER by 2020
The target entails an additional investment of US$190 billion (including capital and operating expenditure) in the next seven years to enrol an additional 25 million students.
*The above quoted stats are taken from a FICCI report on higher education in India (based on the twelth five year plan) and UGC′s annual report 2010-11.
The higher education market and opportunities for foreign Investment
- Between 2010 and 2015, the market size of the higher education sector is expected to register a compounded annual growth of 25%, thus making it worth US$57 billion by 2015.
- The twelfth Five-Year Plan aims to enrol 35.9 million students in higher education institutions, with a Gross Enrolment Rate (GER) of 25.2 % (up from 19.9 % during 2007-12, which was up from 12.3 % at the beginning of that period)
- The private sector's share of student enrolment has grown from 33% in 2001 to 59% in 2012.
- The total allocation of funds for the education sector, under the twelfth Five Year Plan (2012-17) is about US$82 billion; out of which the share of higher education is only 24%. The remaining share is spread across the primary and secondary education segments.
UK's international education strategy
- India is one of the nine priority areas for the UK -the others being China, Brazil, Saudi Arabia, Colombia, Turkey, Mexico, Indonesia and the Gulf.
- India and China, as well as having the largest education systems, are expected to send the most students abroad.
- The overall level of UK collaboration with BRIC countries in research remains low. For example, collaboration with China and India is measured in the millions rather than the billions, as is US collaboration, demonstrating the substantial scope for growth in these relationships.
- There is UK higher education campus presence overseas in the UAE, Uzbekistan, Ghana, Singapore, Australia, Malaysia, Hong Kong and China.
- Over the past decade, there has been a substantial shift in the origin of international students in the UK. In 2010, Asia accounted for over half, with a further 30% coming from Europe. Students from China represented 14% of the total, with India accounting for 10%.
- By 2020, four countries will account for over half of the world's 18-population: India, China, the US and Indonesia.
UKERI's ROLE:
The UK-India Education Research Initiative (UKIERI) has supported a step change in the UK's research and education partnerships with India. The programme is worth £5 million per year and focuses on four strands: leadership development, innovation partnerships, skills development, and enhancing mobility.
The above article was published in India Inc′s Print edition of India Investment Journal launched on October 2013 in conjunction with Education Investment Conclave.
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