The NITI Aayog recently released a report titled “Expanding Quality Higher Education through States and State Public Universities”, highlighting the importance of state public universities (SPUs) in India’s higher education system. The report recognizes the critical role of SPUs in providing affordable and quality education while also addressing the challenges they face. At the same time, the growing role of self-financed private universities (SFPUs) in expanding higher education access cannot be ignored.
Importance of State Public Universities (SPUs)
SPUs have played a key role in India’s education system for over seven decades. Out of the 1,168 university-level institutions (ULIs) in the country, 495 are SPUs, accounting for 42.38% of all universities. They provide affordable and accessible education to a large segment of the population. According to the NITI Aayog report, SPUs enroll nearly 54% of all higher education students in India, making them central to India’s education landscape.
To enhance the quality of SPUs, the 11th Five-Year Plan allocated over ₹16,000 crore for their revival. The 12th Plan introduced the Rashtriya Uchchatar Shiksha Abhiyan (RUSA) to strengthen these institutions and their affiliated colleges. In 2023-24, the government spent ₹186 crore on RUSA, which was significantly lower than the budgeted ₹1,500 crore. However, the scheme was renewed as the Pradhan Mantri Uchchatar Shiksha Abhiyan in 2023, with the 2025 budget providing ₹1,815 crore for the program.
Challenges Faced by SPUs
Despite their importance, SPUs face several challenges, including:
- Insufficient government funding for infrastructure, research, and faculty.
- Shortage of qualified faculty and reliance on contractual staff.
- Inadequate governance leading to poor curriculum design, industry interface, and career support.
- Limited resources for modern teaching methods and research facilities.
The report emphasizes that targeted investment, better governance, and a focus on quality teaching and research could transform SPUs into centers of excellence. Stronger SPUs could help India achieve the National Education Policy (NEP) 2020 target of raising the gross enrolment ratio (GER) in higher education to 50% by 2035.
Role of Private Universities
While strengthening SPUs is essential, private universities have also played a crucial role in expanding higher education. Self-financed private universities (SFPUs) and self-financed private deemed universities (SFPDUs) now constitute 40% of all ULIs and account for nearly 25% of university-level enrolments.
Growth of Private Universities
- Enrolment in SFPUs grew from 2.17 lakh in 2011-12 to 16.2 lakh in 2021-22.
- SFPDUs saw a 54.5% growth in enrolment during the same period.
- Private universities have been instrumental in introducing modern infrastructure, flexible curricula, and industry-linked programs.
Challenges for Private Universities
Private universities face financial pressure as they depend solely on student fees for funding. Rising costs due to inflation, faculty salaries, and regulatory compliance have created a financial strain. If they raise fees, education becomes unaffordable; if they keep fees low, retaining qualified faculty becomes difficult. This could impact the quality of education and student outcomes.
Public Funding for Private Institutions?
The idea of public funding for private universities remains controversial. Critics argue that public funds should not be used for profit-driven institutions. However, private universities are as tightly regulated as public universities. The report suggests that targeted funding for research, development, and quality improvement in private universities could help strengthen India’s overall higher education ecosystem without compromising public interest.
Need for a Balanced Approach
India’s higher education system requires a balanced approach. Strengthening SPUs will provide affordable access to quality education for millions of students. At the same time, supporting private universities will help improve infrastructure, teaching quality, and research output. The NITI Aayog report calls for a dual strategy—enhancing public funding for SPUs while exploring targeted support for private universities.
By addressing the challenges faced by both public and private institutions, India can build a robust higher education system that meets the demands of a growing economy and positions the country as a global leader in education and innovation.
