India - Higher Education Sector - PwC - education system in india ppt

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India - Higher
Education Sector
Opportunities for
Private Participation
#01
Overview
The Market admission into the elite Indian Institute of Management (IIMs)
With a median age of 25 years, India has over 550 million people compared with the ratio of 1:10 for MIT. It is therefore not
below the age of 25 years. According to Census figures, over 32 surprising that an industry chamber has recently reported that
per cent of the 1.1 billion population is between the age group 0- 450,000 Indian students spend over USD 13 billion each year in
14. This means that the number of people in India needing acquiring higher education overseas.
primary and secondary education alone exceeds the entire To reduce the demand supply gap in school education, it has been
population of the USA. Since these students will be seeking higher proposed in the 12th FYP (2012-17) to set up 6,000 schools at
education in India over the next decade it illustrates the sheer block level as model schools to benchmark excellence. Of these,
size of the Indian education market. Presently about 2500 will be set up under Public Private Partnership. Further,
11 million students are in the Higher Education system. This easy availability of education loans to students it has been
represents just 11% of the of the 17-23 year old population. The proposed in Budget 2012-13 to set up a Credit Guarantee Fund
government hopes to increase this to at least 21% by 2017- a for this purpose.
target which still falls short of the world average. Spending on the education sector as % of GDP
With the emergence of India as a knowledge-based economy,
human capital has now become its major strength. This has put
the spotlight on severe inadequacies of India's infrastructure for
delivery of education, particularly higher and vocational
education.
Demand-Supply Gap
Indian society puts a premium on knowledge and its acquisition -
spending on education has figured as the single largest outlay for
a middle class household after food and groceries. With its
rapidly expanding middle class, India's private expenditure on
education is set to increase manifold.
India's public expenditure on education (centre plus state
expenditure) has ranged between 3.26 % and 3.85% from 2004-
05 till 2009-10 and this needs to increase if it were to come at par State as % of GDP
with the expenditure incurred by the developed economies. Centre as % of GDP
While there has been some private investment in setting up State + Centre as % of GDP
educational institutions, there remains a glaring mismatch in
demand and supply, particularly in high quality institutions. Source: MHRD report titled "Analysis of budget expenditure on
Example - only 1 out of approximately 150 applicants gets
education (2007-08 to 2009-10)"
India- Higher education sector 3


How many grades are there in primary education in India? Primary education Primary education in India currently covers five grades, typically from ages six to 10 (although note the revised foundational stage in Table 1, proposed for the 2019 NEP above).

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