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Sector Overview

The education sector, being a key pillar of progress and development in India, has undergone a significant transformation in recent years. Starting from a mere 18% literacy rate in 1951, the country has steadily increased it to 78% in 2021. Notably, India is home to Nalanda University, the world's first residential university. India also boasts one of the largest higher education systems globally, comprising over 58,000 institutions serving 40 million students and supported by 1.5 million teachers. Further, India is rapidly embracing digital education, with over 5,900 recognised startups in the field. Besides, the rising enrolment in higher education, from 24% in 2017 to 28% in 2022, is shaping India's educational destiny. 
 
In recent years, there has also been a noticeable improvement in school education, including increased enrolment rates and improvements in gender parity within the school system. But the story doesn't end there. The latest structural reform, the National Education Policy (NEP), presents an ambitious vision of boosting enrolment in school and higher education, including vocational education, by enhancing access and improving education quality. It specifically targets underserved areas and communities. Moreover, the policy seeks to position India as a premier global study destination, fostering 'internationalisation at home' that transcends borders. Aligned with this vision, the government has set a goal to enrol half a million international students by 2047. To achieve this, initiatives such as Study in India have been launched alongside regulations inviting foreign universities to collaborate with Indian higher education institutes and establish campuses in the country. 
 
Other notable programs and initiatives, such as the Digital India Program and Skill India Program, are directed at bridging the gap by promoting digital literacy and enhancing job-relevant skills in collaboration with the private sector. Platforms like SWAYAM are offering courses on topics such as Machine Learning. They showcase India's efforts to promote quality in the  education system, laying the foundation for the nation's growth engine.

Why Invest in Education

  • Large and Growing Market

    Population of 1.4 Bn, with a significant portion under the age of 25.

  • Government Support and Policies

     Policies like 100% FDI under automatic route, National Education Policy, and regulations that allow foreign universities to set up branch campuses and engage in academic and research collaborations will transform the system. 

  • Technological Advancement and Innovation

    Infrastructure development and internet penetration offer opportunities for EdTech companies to tap into the market.

  • Increasing Demand for Quality and Specialized Education

    Growing demand for quality education and Industry 4.0 skills.

Major Investors

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Incentives & Schemes

  • Skill India Mission
  • Scheme for Promotion of Academic and Research Collaboration (SPARC)
  • International Financial Services Centres Authority (Setting up and Operation of International Branch Campuses and Offshore Education Centres) Regulations, 2022
  • 100% FDI under automatic route in educational institutions

Policy Archive

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University Grants Commission (Setting up and Operation of Campuses of Foreign Higher Educational Institutions in India) Regulations, 2023

University Grants Commission (Setting up and Operation of Campuses of Foreign Higher Educational Institutions in India) Regulations, 2023

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National Education Policy, 2020

National Education Policy, 2020

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UGC Regulations on Academic Collaboration between Indian and Foreign Higher Educational Institutions to offer Twinning, Joint Degree and Dual Degree Programmes, 2022

UGC Regulations on Academic Collaboration between Indian and Foreign Higher Educational Institutions to offer Twinning, Joint Degree and Dual Degree Programmes, 2022

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PM Schools for Rising India, 2022

PM Schools for Rising India, 2022