Here are a few reactions from leading educationists on the Budget presented on Friday:
Shiv Nadar, Chairman, HCL & Shiv Nadar Foundation
Education is a subject of national importance and the FM has presented a very balanced budget on education. While the focus has been on infrastructure and rural development, education has also retained its importance. Union Budget 2012 supported industry’s long time demand to improve the provision and standards of education in the country. An increase in allocation by 21.7 per cent for Right to Education – Sarva Shiksha Abhiyan to Rs 25,555 crore and by 29% for Rashtriya Madhyamik Shiksha Abhiyan to Rs 3,124 crore reiterates the Government’s commitment towards education. The FM proposed to set up a Credit Guarantee Fund to ensure better flow of funds to students. Over 70 per cent of Indians will be of working age in 2025. In this context, universalising access to secondary education, increasing the percentage of our scholars in higher education and providing skill training is necessary. A clear road map would ensure effective implementation.
We are delighted to know that government has articulated several initiatives to give a major boost to public-private partnership in this sector. PPP schemes for 2,500 schools and credit guarantee fund for education loans to students is likely to pave the way for more private investments in higher education, especially foreign direct investment (FDI). The increase in budgetary allocations for school education and adult literacy is also a very welcome step. The special emphasis for education of girl children which is proposed to be enhanced from Rs 1,265 to Rs 3,000 per child in 2012-13 is a significant step forward. The government’s move to increase the exemption limit for children’s education allowance from Rs. 100 per month to Rs. 1000 per month per child is also a good move.
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Sanjaya Sharma, CEO TATA Interactive Systems
“This year’s Union Budget (2012-13) is very optimistic and positive for the education sector, significant for our country’s growth and development. The Government’s allocation of Rs. 25,555 crore for Right to Education and another one of Rs 11,937 crore allocated for National Programme of Mid Day Meals in schools are very encouraging steps to achieve 100% literacy, which is our long term goal. Another encouraging step by the Govt. is their plan to set up 6,000 schools at block level as model schools in the Twelfth Plan. This year on school education has been exempted from service tax. All these positive steps will widely extend the benefits of education and also impact the quality to achieve global benchmarks.
"The governmentovt has realised and made some very positive decisions focused towards the learning and training of our workforce. This can be seen in the Projects approved by National Skill Development Corporation through which it expects to train 6.2 crore people at the end of 10 years. Every sector in India is challenged with severe crunch of skilled workforce and such initiatives by the NSDC will no doubt help fill the gap by training about 10 lakh workers in the next 10 years.
"Additionally Rs 1,000 crore more has been allocated for the national skill development fund 2012-13. Other welcome initiatives in this direction are the steps to improve the flow of institutional credit for skill development by setting up a separate Credit Guarantee Fund. The “Himayat” scheme introduced in J&K to provide skill training to one lakh youth in next 5 years whose entire cost will be borne by the Centre should be replicated in other states as well going forward. The Govt & NSDC should build on these initiatives and surely look at employing technology as a strategic partner to fast track and bridge the prevalent skills gap.”
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Shantanu Prakash, CMD, Educomp Solutions Ltd.
“There are two key policy directives in the Budget that augur well for the education sector. The allocation for PPP, particularly in the core education is both an impetus and an acknowledgment of the importance of the private sector in education infrastructure. The Credit Guarantee Fund for education loans will particularly benefit aspirants with low financial security to access loans at the lowest end of the skill development market. Service tax exemption for school education while along expected lines is a decidedly welcome step also."
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Sanjeev Mansotra, Chairman & Group CEO, CORE Education and Technologies Ltd
“Heartening to see Government of India putting consistent efforts to strengthen the education sector as a whole and to improve the quality by promoting private-public partnerships. The much anticipated Model Schools scheme is a landmark of sorts for the sector and is expected to be a huge step in making quality education accessible to all. This coupled with enhanced spending on SSA, RMSA and skill-development augurs well for integrated education service providers. Move to allow QFIs invest directly in corporate bond market will enhance liquidity. Overall I am pretty sure that we are on course for the 7.6% GDP growth projected for FY13.”
