Wednesday, September 10, 2014

Promotion of education through proliferation of IIT/IIM or encouraging primary education

The recent announcement by the HRD ministry to set up a new IIM and IIT in every state from the current year onwards has been a moot point of debate among the educated intelligentsia, economists and purists. The decision has drawn a lot flak from many quarters including the students and professors of various IITs and IIMs.
Before we delve deep into this debate and try to derive the essence of and impact thereby on various socio-economic factors, let us first take a re-look into the present condition of higher and primary education, in India.

Higher Education
India currently has 16 IITs, 13 IIMs and 30 NITs. Since their inception, securing a seat in an IIT or IIM has been a long drawn dream for many middle class families waiting to move up the societal status ladder and become the next Noveau Riche. But not only did these institutes help families to reach the upper echelons of society but they also greatly contributed to the economic growth and progress of the country, be it through technological innovation or business strategy. Prior to the opening of many new IITs and IIMs post 2005, many people felt that for a country like India with such population and talent, a mere 6000 seats in IIT’s and 2000 in IIMs is not a proportionate quantity. Owing to this disparity many argued that the talented youth of the country was missing out on a platform to perform big and do justice to their talent. Also, in the era of globalization, many of the IIT and IIM graduates were seeking foreign destinations post their studies as their preferred choice of workplace and living, hence fewer number of graduates were left behind for India. All these factors accumulated and added indirect pressure on the human resources to make higher education accessible to a wider range of people. Thus we saw a proliferation of a plethora of private engineering institutes and management schools churning out engineers and MBAs in lakhs. But are they really considered worthy by corporate organizations and the Industry as a whole?
The answer is NO. As a result what has increased over the last few years is unemployment among the educated youth consisting of both engineers and MBAs. Some of the institutes of repute do not have the basic infrastructure expected from a nationally recognised institute like IIT/IIM. Many do not have the decent number of faculty and the faculty to student ratio is also very poor. Of all the six new IIMs that have been opened up, the sum total of the number of students that they currently possess is less than 1000. Some argue that the IIMs and IITs that were set up between 2008 and 2012 should be given some time to build their infrastructure and develop an alumni base, which would be spread across the industry. If one does accept this predictive analysis, the latest decision by the HRD ministry to open up an IIT and IIM in every state from the current year onwards is really surprising. Given that the condition of the newly built IITs and IIMs are not up to the accepted standards and that they would require sufficient Government funding, how will the Government finance the new ones coming up? Most importantly, the question that is being asked by many faculty members of the IIMs is that, will this proliferation not lead to a substantial brand dilution of IITs and IIMs in general? This is one question which many among the current student fraternity studying in the older IITs and IIMs is also bothered about.


Primary Education
We have thus far been talking about the higher education institutes vis-à-vis IITs and IIMs. At the outset, it might appear that we as a country are extremely well-off in our basic primary education infrastructure, and hence we now want to focus more on higher education. A fact: The current drop-out rate by class 10 is 50%. Shocking? It is even more shocking to note that India is one of those rare countries which spends only 4% of HDP on education sector against the globally accepted norm of central and state Government spending of 6% of GDP. A point essential, for understanding the high drop-out rate. To add to it, last year, according to a report published by World Bank, an average Indian spends just 5.1 years in school, even below that of Bangladesh (5.8 years) and Pakistan (5.6 years). The drop-out rate for the primary level was 28.7% .which meant that out of every 100 that enrolled in a school only 71 could make it to secondary level. There has been a decline in the proportion of schools with at least one classroom per teacher, from 76.2% in 2010 to 73.8% in 2013, a survey said. There are obviously many factors which are responsible for such abysmal primary education condition like low quality teachers, lack of infrastructure of schools, low teacher to student ratio, ignorance among the lower strata of the society and a host of other factors, even though there have been schemes like Sarva Shiksha Abhiyan, Rashtriya Madhyamik Siksha Abhiyan programme and the mid-day meal programme to promote primary education.
Rural Scenario:
As per the ASER report of 2013, there are a few positive signs as far as rural education scenario goes. Enrolment in the 6-14 age group has increased to 96% and there has been a slight increase in the private school enrolment as well. But the darker side is, according to the report there has been no significant improvement in children’s ability to read. Children are still struggling with basic arithmetic. Though teacher attendance has been steady, student attendance has dropped. The infrastructure facilities of primary education in rural India declined in 2013 as compared to 2012. Basic amenities like toilet facilities, drinking water, building, and library facilities have indicated a declining trend in 2013 as compared to previous years. The pupil to teacher ratio also has not increased and remains below the 50% mark according to the findings.

Hence there exists a paradox. Shall we focus on increasing higher education institutes to supplant our growing population and talent pool or shall we focus more on developing the infrastructure of the existing ones? On the other hand, shall we rather focus our Government spending more on building our primary education edifice? These are some of the questions that need to be addressed.
Before answering these questions, like all economic theories, we need to look at the budgetary allocation our Government is planning for the education sector for the current year. The total expenditure on education has increased from 2.9% of GDP in 2009 to 3.3% in 2013. This year, the education sector received an allocation of Rs.68728 crores for 2014-15, up from a revised budget estimate of Rs.61857 crores in 2012-14. Out of this year’s total allocation, the school sector got Rs.51828 crores. Clearly, there is an urgency on the part of the Government to focus more on primary schooling and skill development.

Conclusion:
Our analysis of the primary education condition in India where infrastructure facilities have seen stymied growth or even declined in the recent years suggest that there is immediate need to revamp our primary education sector. Improvement in infrastructure like building, library, etc. is going to lower the drop-out rate and increase school enrolment further. On the other hand, the opinion regarding setting up new IIMs and IITs have remained divided. While many IIT faculty believe that expansion is a good idea, faculty of IIMs are not in favour of the expansion strategy. This division is due to the fact that that most of the new IIMs including IIM Shillong which was set up in 2007 have not been able to shift to a new campus and their total students have remained at 120 on an average, against the 400 odd in older IIMs. The average shortage of faculty in these IIMs stands at 40%. By comparison, even though some of the new IITs are also struggling, but in the race to be world class institutions, they are forging ahead of the IITs. They have also been able to shift their campuses. Their share of success in attracting new faculty and new directors have also been more than the IIMs. Hence it is only prudent that we take this step of expansion very carefully and do not spend our budget on a expansion strategy that would only result in degrading the brand equity of IIMs. As the case stands now, expanding the IITs, in every state, can be considered to be a step in the right direction. But decision to expand IIMs needs careful review and re-consideration. In the end, we are looking to shape the future of our country, by producing quality engineers and managers, not merely by increasing their numbers. Given the budget constraints, our Government needs to match the progress of primary education sector with higher education, and carry out any expansion strategy they have in their mind in a phased out manner. We need an inclusive growth strategy for promoting education in India and not a skewed one.

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