EDUCATIONAL SECTOR IN INDIA

The expenditure by the government on education is expressed in two ways:

  • As a percentage of total government expenditure: It indicates the importance of education in the scheme of things before the government. During 1952-2014, it increased from 7.92 to 15.7.
  • As a percentage of Gross Domestic Product (GDP): It expresses the proportion of income spent on the development of education in the country. During 1952-2014, it increased from 0.64 to 4.13.
  • The increase in education expenditure has not been uniform and there has been irregular rise and fall. However, if we include the private expenditure incurred by individuals and by philanthropic (charitable) institutions, the total education expenditure will be much higher.

Important Points about Government Expenditure

  • The government spends more on Elementary Education: Elementary Education (primary and middle school education) takes a major share of total education expenditure. Share of higher or tertiary education (institutions of higher learning like colleges, polytechnics and universities) is the least
  • Expenditure on Tertiary Education is important: On average, the government spends less on tertiary education. However, 'expenditure per student in tertiary education is higher than that of elementary education. However, it does not mean that financial resources should be transferred from tertiary to elementary education. As we expand school education, we need more teachers who are trained in higher educational institutions. Therefore, expenditure on all levels of education should be increased.
  • The difference in Educational Opportunities across States: In 2014-15, the per capita education expenditure differs considerably across states from as high as 34,651 in Himachal Pradesh to as low as 4,088 in Bihar. This leads to differences in educational opportunities and attainments across states.

Provision of Free and Compulsory Education

The Tapas Majumdar Committee, appointed by the Indian Government in 1998, estimated an expenditure of around 1.37 lakh crore over 10 years (1998-99 to 2006-07) to bring all Indian children in the age group 6-14 years under the purview of school education.

  • In 2009, the Government of India enacted the Right to Education Act to make free education a fundamental right of all children in the age group of 6-14 years.
  • The government of India has also started levying a 2% education cess on all Union taxes. The revenues from education cess have been earmarked for spending on elementary education
  • In addition to this amount, the government-sanctioned a large outlay for the promotion of higher education and new loan schemes for students to pursue higher education.

EDUCATIONAL ACHIEVEMENTS IN INDIA

  • Adult Literacy Rate: The adult literacy rate refers to the ratio of the literate adult population to the total adult population in a country.
    •  In the case of males, the adult literacy rate increased from 61.9% in 1990 to 81% in 2015.
    • In the case of females, the literacy rate was just 37.9% in 1990, which increased to 63% in 2015, which is still far below the satisfaction level.
  • Primary Completion rate: It is the percentage of students completing the last year of primary school.
    • In the case of males, the primary completion rate increased from 78% in 1990 to 94% in 2015.
    • In the case of females, the rate increased from 61% in 1990 to 99% in 2015.
  • Youth Literacy Rate: It is the percentage of people aged 15-24 who can, with understanding, read and write a short, simple statement on their everyday life.
    • In the case of males, there was a marginal increase in the youth literacy rate from 76.6% in 1990 to 92% in 2015.
    • In the case of females, the youth literacy rate increased from 54.2% in 1990 to 87% in 2015.

FUTURE PROSPECTS IN THE EDUCATIONAL SECTOR

  • The literacy rates for both adults as well as youth have increased. However, the absolute number of illiterates is still as much as India's population was at the time of independence.
  • In 1950, it was noted in the Directives of the Constitution that the government should provide free and compulsory education for all children up to the age of 14 years. Had we done this, we would have achieved 100% literacy by now.

Gender Equity:

  • The differences in literacy rates between males and females are narrowing. It indicates a positive development in gender equity. However, women's education needs to be promoted:
  • To improve the economic independence and social status of women; and
  • Women's education makes a favorable impact on the fertility rate and health care of women and children.
  • Therefore, we cannot be satisfied with the upward movement in the literacy rates, until 100%, the literacy rate is achieved.

Higher Education:

  • The Indian education pyramid is steep indicating a lesser and lesser number of people reaching the higher education level.
  • As per NSSO data, in the year 2011-12, the rate of unemployment among youth males who studied graduation and above in rural areas was 19%. Their urban counterparts had a relatively less level of unemployment at 16%. The most severely affected ones were young rural female graduates as nearly 30% of them are unemployed. In contrast to this, only about 3-6% of primary-level educated youth in rural and urban areas were unemployed.
  • Therefore, the government needs to increase allocation for higher education and higher education institutions, so that students are imparted employable skills in such institutions.

Conclusion

The economic and social benefits of human capital formation and human development are well known. The union and state governments have been allocating substantial amounts for the development of the education and health sectors.

The spread of education and health services across different sectors of society should be ensured so as to simultaneously attain economic growth and equity. India has a rich stock of scientific and technical labor in the world. We need to improve it qualitatively and provide such conditions so that they are utilized in our own country