Union Budget 2023 | How the education sector reacted to the Budget

Union Finance Minister Nirmala Sitharaman presented the last full budget of the second term of the Narendra Modi government in Parliament on February 1. Here's what experts, industry insiders said about this year's Budget. Stay tuned to DH for the latest updates!

Great to see government's focus on education: Sumit Rai founder of EUGateway

Sumit Rai founder of EUGateway.

It’s great to see the government’s focus on education and launch Pradhan Mantri Kaushal Vikas Yojana 4.0. In order to skill the youth for international opportunities, 30 Skill India International Centres will be set up across different states that will push students into different career opportunities. Also, the announcement of 100 labs for developing apps using 5G services will be set up in engineering institutions and her announcement on focusing on a national digital library for children and adolescents will provide quality books.

Employing more staff for Eklavya model schools will benefit tribal students: Ajay Gupta, founder Bachpan Play Schools

Ajay Gupta, the Founder of Bachpan Play Schools and Academic Heights Public Schools

We welcome the government's focus on building a knowledge-driven economy to provide all students with equal opportunities and foster inclusive development. Employing more teachers and support staff for the Eklavya model schools will greatly benefit tribal students. The setting up of a national digital library and the creation of other knowledge assets for children (such as new labs) will also provide them with access to quality books, enhancing their learning experience and driving our country's progress.

Budget promotes quick implementation of tech advancements in academics: Beas Dev Ralhan, CEO, Next Education

"The budget also promotes the quick implementation of the latest technological advancements in the academic field to build to develop an ecosystem of skilled students. In order to upskill teachers, innovative pedagogies, curriculum transactions, a dipstick survey of continuous professional development and the implementation of ICT will be used. A reduction in the cost of capital for educational loans was hoped for and is to be commended. Inflation and the necessity to adapt to technology remain challenges for the digital education sector with regard to taxation,"Beas Dev Ralhan, CEO, Next Education said.

GST exemption on printing of school textbooks will make these books more affordable for low-income parents, says Sumeet Mehta, Cofounder & CEO, LEAD

Sumeet Mehta, Cofounder & CEO, LEAD

“The National Education Policy promotes the use of technology in teaching and learning. The direction and guidance of the Ministry of Education, as per the policy, is to promote multimodal learning so that high quality resources are made available to all students, irrespective of location or background.This can be enabled by increasing the penetration of digital infrastructure in schools and educational institutions. Digital tools and content in smart classrooms are key to enriching students’ learning.

GST exemption on the supply of goods (including TVs/tablets for digital education, currently @28% GST) and services (used for teaching and learning applications and content, currently @18% GST) to educational institutions and intermediaries can reduce the overall cost that is currently passed on to schools and parents. This will make goods and services for education more affordable, and will foster the implementation of NEP across the country.

Additionally, GST exemption on printing of school textbooks will make these books more affordable for low-income parents. For the same reason, printing and service of assessments/examination papers that are a part of the curricula in schools should also be exempted from GST.”

We hope that budget gives the much-needed boost to the education sector to cope up challenges of hybrid learning in the current context: Niru Agarwal, Trustee, Greenwood High International School

Since education is a key development sector, we have huge expectations from the upcoming budget. It should address the core aspects of education with a view to enhance quality of learning, improve teacher professional skills, build robust infrastructure, and promote skill development. Today, education systems continue to face challenges on how to effectively support learning in the current context and overall student development in an increasingly challenging world.

A recent survey showed the widening learning gap for foundational skills which can also be attributed to schools remaining closed across the country during the pandemic and the need to address this is critical. Hence, we urge the government to focus on expanding access to education and technology, particularly in rural and underserved areas.

The loss of learning is a stark reality and transcends the rural-urban divide in government schools. In the last budget, a slew of measures were announced for the Digital DESH, Digital University initiative, One-Class-One-channel through PM eVidya initiative etc, but we need to do a lot more if India has to become a truly digital hub of the world.

The country is in need of skilled personnel at different levels and this demand can be met only by training students at the school level. The foundation and vision set by the government, through NEP will be vital in achieving these objectives of an effective and inclusive education system. Overall, we hope that budget gives the much-needed boost to the education sector to cope up challenges of hybrid learning in the current context.

Multiple policy reforms are required from an education and up-skilling perspective to achieve this vision: Subramanyam Reddy, Founder and CEO, KnowledgeHut upGrad

For almost two decades now, unemployment has remained an Achilles' heel for India. This is due to several reasons including the gap in industry, readiness of the youth, the inability of institutions to stay up-to-date with evolving skills, economic volatility, and an employment market that demands more diverse and complex abilities. India has the largest working population (15 – 55 years) than any other country in the world. This is a huge resource that, if used well, can propel India out of the pool of developing countries almost overnight.

The government and private enterprises must work together to not just provide the youth with the right opportunities but also empower them with the right skill sets and adequate avenues for reskilling and upskilling. Technologies like artificial intelligence (AI), machine learning (ML), internet of things (IoT), cybersecurity, data science and cloud-based technologies are rapidly growing. Their adoption by critical industries such as financial services, telecommunications, healthcare, manufacturing, e-commerce etc. is driving demand for talent skilled in relevant technologies. Hence, it is the need of the hour to strengthen the skilling infrastructure to keep up with the labour market. While India Inc continues to invest in skilling of its employees to bring them up to speed for the job at hand, this is equal to applying a band-aid where significant surgery is needed.

The upcoming FY23-24 budget is a much anticipated one, post two years of Covid-19. The centre is likely to target a nominal GDP growth of about 11% in this budget. The creation of a skilled talent pipeline is crucial if India is to hit this target. Multiple policy reforms are required from an education and up-skilling perspective to achieve this vision. In fact, the government can also adapt measures taken by German and Singapore governments. For instance, citizens in Singapore receive several government subsidies for acquiring skills in key areas like finance and technology. These can go up to 90% of the course fee. The government must start looking at technology skills as crucial for overall economic growth. Measures like these will not only encourage more employment for the youth but also contribute to the local and national economy.

Government should envisage a framework that promotes the collaboration of startups with government agencies: Gaurav Goel, Co-Founder and Chief Executive Officer, Toprankers

As the honorable Prime Minister declared from the ramparts of the Red Fort - our Amrit Kaal has begun and we have to work relentlessly until we achieve our mission of Viksit Bharat. For this, we need the double engine of digitization and empowerment of MSMEs to chug along. The edtech segment foresees the upcoming Union Budget 2023 as remote and hybrid learning emerges in the Indian education landscape. The industry also oversees significant announcements from this budget to drive investment in this space along with favourable regulatory measures to build a conducive environment for digital learning. Toprankers believes that the government should envisage such a framework that promotes the collaboration of startups with government agencies to build capacity, share knowledge and ensure the nation's holistic development.