Should there be foreign direct investment in education in India?

Should there be foreign direct investment in education in India?

          The Foreign Educational Institutions (Entry and Regulation of operations) Bill 2010 allowing Foreign Direct Investment (FDI) in education should be brought into action. Our Country has achieved par excellence in education and has realized the need to give due importance to higher education and research. India stands third after USA and China in the case of number of students enrolling in higher education. Though our country is known for its rich educational heritage, India’s stance in providing quality education is not up to the mark.  And the process of raising the standards to improve the education sector is still in the nascent stage. For over more than six decades, the brain drain keeps on increasing steadily. Why the country is still unable to keep this in check? The answer remains elusive.

          Despite the shortcomings of the efforts made earlier, the ministry of HRD has taken an assertive stance to improve the quality of education in our country. Based on the recommendations of National Council for Higher Education and Research (NCHER) and the ministry of HRD, the ruling government is all set to establish the act enabling FDI in the education sector in the sixty first year of the Republic of India.

          FDI in the education sector helps to provide quality education in our country in the long run. Many other private institutions strive to be equally competitive to the foreign institutions.  As the most preferred foreign institutions are made to provide education in India, the students will prefer to study in our own country. Also the cost of pursuing education in India is comparably less expensive. So, the number of students doing higher education will also increase gradually. And hence brain drain will not be an issue anymore. As the number of foreign educational institutions continues to grow, India will emerge to be an international hub for higher education. This in turn will bring more and more international students into our country as well.  Soon, India will develop to be a pioneer in providing higher education and be globally competent enough to become a developed country.

          Foreign Educational Institutions Bill comes with its own set of rules and regulations that are carefully framed keeping in mind the interests of our people. Only the foreign institution that has been in existence for more than twenty years in its country of origin is allowed to provide courses accredited by the ‘accrediting agency’ or any statutory authority of the corresponding country.  Such institutions will be notified as ‘Foreign Education Providers’ after being recognized by the Government of India.

 A foreign education provider should ensure that the course or program of study offered and imparted by it in India is, in conformity with the standards laid down by the statutory authority, and is of quality comparable, as to the curriculum, methods of imparting education and the faculty employed or engaged to impart education, to those offered by it to students enrolled in its main campus in the country in which such institution is established or incorporated. And the profit realized should be used solely for the development of such institutions established in our country. In case any foreign institution does not conform to the requirements of the bill, it will cease to exist as a foreign education provider.

Considering all the possibilities, it is imperatively necessary to allow FDI in India as it paves way for our country to play a vital role in providing quality education. Improving the quality of education is the need of the hour. Thus, it is of national importance as well as proves to be decisive to allow FDI in the education sector.