The University Grants Commission (UGC) has announced draft norms for facilitating foreign universities and educational institutions to set up campuses in India.
Hereby analyzing the status of higher education in India, the norms stated by UGC, why needed, its advantages and disadvantages, challenges in implementation of the norms, etc.
Backgrounder: Higher Education status and challenges
Higher education is critical for developing a modern economy, a just society and a vibrant polity. It equips young people with skills relevant for the labour market and the opportunity for social mobility.
The present system of higher education is governed by the University Grants Commission (UGC), which is the apex body responsible for coordination, determination and maintenance of standards, and release of grants. Various professional councils are also responsible for recognition of courses, promotion of professional institutions and providing grants to undergraduate programmes.
Data on Higher Education in India
The total number of Universities / University like institutions registered is 1,113, Colleges 43,796 and Standalone Institutions 11,296.
During 2020-21, the number of Universities has increased by 70, and the number of Colleges has increased by 1,453.
The College Density, the number of colleges per lakh eligible population (population in the age-group 18-23 years) has been 31. This was 27 in 2014-15.
States with Highest college density: Karnataka (62), Telangana (53), Kerala (50), Himachal Pradesh (50), Andhra Pradesh (49), Uttarakhand (40), Rajasthan (40), Tamil nadu (40).
The total enrollment in higher education has increased to nearly 4.14 crore in 2020-21 from 3.85 crore in 2019-20. Since 2014-15, there has been an increase of around 72 Lakh in the enrolment (21%).
The Female enrolment has increased to 2.01 crore from 1.88 crore in 2019-20. There has been an increase of around 44 Lakh (28%) since 2014-15.
As per 2011 population projections for 18-23 years age group, GER has increased to 27.3 from 25.6 in 2019-20.
Comparison with other nations
India’s Gross Enrolment Ratio (GER) in higher education is 27.3%. Other countries such as the USA (81%), UK (54%), Japan (49%) have much higher enrolment rates.
India is the second largest source of international students (after China) globally.
Despite having the largest base of 900-plus universities in the world, only 15 higher education institutions from India are in the top 1,000.
Issues in the Higher Education system
Some of the major problems currently faced by the higher education system in India include:
• a severely fragmented higher educational ecosystem;
• less emphasis on the development of cognitive skills and learning outcomes;
• a rigid separation of disciplines, with early specialisation and streaming of students into narrow areas of study;
• limited access particularly in socio-economically disadvantaged areas, with few HEIs that teach in local languages
• limited teacher and institutional autonomy;
• inadequate mechanisms for merit-based career management and progression of faculty and institutional leaders;
• lesser emphasis on research at most universities and colleges, and lack of competitive peer-reviewed research funding across disciplines;
• suboptimal governance and leadership of HEIs;
• an ineffective regulatory system; and
• large affiliating universities resulting in low standards of undergraduate education.
UGC norms for Foreign Institutions
Origin of the Idea: National Education Policy 2020
• NEP 2020 has envisioned that “top universities in the world will be facilitated to operate in India.” For this, “a legislative framework facilitating such entry will be put in place, and such universities will be given special dispensation regarding regulatory, governance, and content norms on par with other autonomous institutions of India.”
• In line with the recommendations of the National Education Policy (NEP), 2020, the University Grants Commission (UGC) has released the draft UGC (Setting up and Operation of Campuses of Foreign Higher Educational Institutions in India) Regulations 2023.
Provisions
• Rankings: The draft notes that only foreign universities that have secured a rank within the “top 500 of overall/subject-wise global rankings”, as decided by the UGC, will be permitted to establish an Indian campus. However, draft do not mention which global rankings it will recognise.
• Fee structure: The draft gives universities autonomy in deciding who they want to admit, for how much, and the amount of financial support they can provide potential students.
• Appointment of teachers: The draft notes that the institution may decide the qualifications, salary structure, and other conditions of service for appointing faculty and staff. However, the FHEI shall ensure that the qualifications of the faculty appointed shall be at par with the main campus of the country of origin
• Mode of teaching: The programmes offered under these Regulations shall not be allowed in online and ODL mode.
• National Interest: The Foreign Higher Educational Institutions shall not offer any such programme of study which jeopardises the national interest of India or the standards of higher education in India. The operation of Foreign Higher Educational Institutions shall not be contrary to the sovereignty and integrity of India, the security of the State, friendly relations with foreign States, public order, decency, or morality.
• Audit: The institutes will be required to submit audit reports to the UGC.
• Implementation of FEMA rules: Cross-border movement of funds and maintenance of Foreign Currency Accounts.
• Renewal of Licence: FHEIs’ Indian campuses will be granted initial approval for 10 years, which will be renewed in the ninth year.
Significance of the norms
• Better Education scenario: FHEIs in India will provide an international dimension to higher education, enable Indian students to obtain foreign qualifications at affordable cost and make India an attractive global study centre.
• Reduce foreign exchange outflow: A recent report by consulting firm Redseer estimated that Indian students’ overseas spending is set to grow from current annual $28 billion to $80 billion annually by 2024. The number of Indian students opting for higher education abroad grew from 440,000 in 2016 to 770,000 in 2019 and is set to grow further to roughly 1.8 million by 2024, resulting in an increased overseas spending on higher education. Hence, opening up of International branch campuses can help in reducing the foreign exchange outflow.
• Reduce brain drain: It will also help in retaining the best of Indian talent by controlling the problem of brain drain. More than eight lakh Indians gave up their citizenship in the last seven years. Finally, opening the door for foreign universities can improve India’s soft power as it will provide further impetus to the government’s Study in India programme that seeks to attract foreign students.
• Healthy competition: Foreign universities setting up their campuses in India will offer healthy competition to leading private universities in the country.
Challenges in implementation of the norms
• Working with existing universities and HEIs in India will have challenges of cultural fit or misfit.
• Students who study abroad look not only for better quality education but also exposure to a multicultural environment. These universities, which will be required to offer the same quality of education as in the parent campus, may not be able to do so during the initial years and they will have to create global communities on Indian Campuses to ensure exposure.
• In India for the upliftment of students from the bottom of the social hierarchy, the higher education institutions provide reservation and scholarships. The UGC draft for foreign universities does mention a 'need-based scholarship' but there is no clarity on how it will uplift the students from the marginalised and underprivileged sections.
• There may be increase in the cost of education which will result in exclusion of a large section of our society, especially the deprived, that seeks empowerment through education. It will also lead to a mismatch between the demand for and availability of skilled workers.
• The biggest challenge in this model is that foreign universities may be interested in bringing their own faculty, courseware, and other academic and non-academic expertise but they may not like to invest in real estate — which will make it difficult for them to scale up.
• The draft regulations say that fund transfers will be in accordance with FEMA. But it indicates that these universities will be able to repatriate funds. While this aligns with the for-profit education in many countries, it may create an uneven playing field for Indian HEIs, which are required to reinvest the surplus. This may also increase the demand for for-profit education in India.
Conclusion
The draft aims at making India as a global study destination providing premium education at affordable costs. However, Quality higher education must aim to develop good, thoughtful, well-rounded, and creative individuals.
It must enable an individual to study one or more specialized areas of interest at a deep level, and also develop character, ethical and Constitutional values, intellectual curiosity, scientific temper, creativity, spirit of service, and 21st century capabilities across a range of disciplines including sciences, social sciences, arts, humanities, languages, as well as professional, technical, and vocational subjects.
The spirit of Vasudhaiva Kutumbakam should guide internationalisation.