Budget 2024: Education Seeks Tech & Skills Boost

5 Jul 2024 , 02:17 PM

The education sector’s stakeholders are expecting the next Union Budget of 2024 to provide additional incentives and larger expenditures. Finance Minister Nirmala Sitharaman is anticipated to release the whole FY 2024–25 budget later this month, following the election of a new administration.

The finance minister is expected to announce increased funding and incentives to support research, digital infrastructure, and skill development by the school sector.

Finance Minister Nirmala Sitharaman is expected to place a strong emphasis on education in the next Budget, as the new government is expected to continue the National Education Policy 2020 (NEP) and skill training.

More broadly, the entire budget for 2024–2025 is anticipated to carry on the trend of rising education sector investment.

The education sector received the highest-ever funding of ₹1.12 lakh crore for the fiscal year 2023–2024. A total of ₹1.04 lakh crore was allotted to the education sector in 2022–2023. It’s interesting to note that was the first year the ₹1 lakh crore budget allocation for education was reached.

Amounts given for 2023–24 were ₹68,804 crore to the school education department, ₹44,094.62 crore to higher education, and ₹37,453 crore set aside for the Samagra Shiksha Abhiyan.

Even while the figures appear enormous when viewed in absolute terms, the nation’s gross domestic product (GDP) is still only little greater than 2.9% when the school and higher education sectors are combined. Experts suggest that FM Sitharaman may contemplate pursuing a rise in its educational budgetary allotment in order to narrow the disparity with the worldwide standard of 6%.

It will be interesting to observe if the Finance Minister uses budgetary measures to support digital infrastructure in order to resolve concerns regarding irregularities in the National Eligibility-cum-Entrance Test (Undergraduate) examination this year.

Sitharaman had highlighted medical education in the interim budget, stating that the government intends to use the current hospital infrastructure under several agencies to establish new medical colleges. We would thus be eagerly awaiting her remarks or any financial actions regarding the National Testing Agency (NTA).

Every year, the NTA administers the NEET exam to applicants for undergraduate MBBS, BDS, and Ayush programs. In accordance with government regulations, admission to medical programs in India requires passing the NEET exam.

The education sector is also looking for investments and capacity building for this year’s budget in order to provide the foundation for the goals outlined in the National Education Policy 2020 (NEP 2020). By 2030, the goal of the policy is to have 100% of children enrolled in school from preschool through secondary education. More money would need to be set aside for programs that train teachers and build new schools.

In her most recent budget speech, Sitharaman specifically mentioned the PM SHRI initiative because of its effectiveness in guaranteeing the provision of high-quality education. There might be an increase in the program’s funding for the entire 2024–2025 budget.

More than 14,500 PM SHRI schools are to be developed under the centrally supported PM SHRI project. These schools will be run by local organizations, state, federal, and Kendriya Vidyalaya Sangathan (KVS) and Navodaya Vidyalaya Samiti (NVS).

The sector wants funds for higher education to be strategically allocated to projects aimed at developing research projects, infrastructure, and skill development. The stakeholders recommend that high-end higher education institutions in India receive financial help to modernize their infrastructure, integrate cutting-edge technologies, and draw in elite faculty—all while keeping costs down for the students.

FM Sitharaman’s other area of interest is probably going to be the digitalization of education. Education experts want to see more affordable internet connectivity available in rural regions and provide instructors and students with tablets and computers at no cost. This will guarantee the success of e-learning programs and give pupils the essential digital skills.

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