Budget focuses on IITs and medical education expansion

Increased higher education funding in the Indian national budget unveiled on 1 February was welcomed by experts in both academia and industry for its emphasis on boosting skills and research in artificial intelligence, expanding technical education, and increasing the number of highly sought-after medical and engineering seats.

However, experts emphasised that quality should take precedence over mere expansion.

Presenting the union budget for 2024-25 in parliament, Finance Minister Nirmala Sitharaman announced a new Centre of Excellence (CoE) for Artificial Intelligence (AI) for education focusing on research and skilling, with a total investment of INR5,000 million (about US$57.47 million), to be established alongside a National Institute of Food Technology, Entrepreneurship, and Management in Bihar state.

According to the budget statement, the new CoE aims to transform India's educational landscape from pre-primary through to professional and research levels. Three CoE’s of AI for agriculture, sustainable cities, and health were announced in 2023.

By leveraging artificial intelligence, the initiative intends to tackle disparities and inefficiencies, promoting equitable and high-quality education throughout the country, the minister said.

Mamidala Jagadesh Kumar, chairman of the University Grants Commission (UGC), stressed the CoE reflected the government’s acknowledgement of AI’s transformative capabilities and critical role in the future of education.

“The creation of a new AI centre is a significant step for India. As artificial intelligence transforms global industries, this initiative will position the country as a leader in AI research and innovation,” Ravneet Pawha, vice-president, global engagement, and CEO (South Asia) for Deakin University, Australia, told University World News.

“Developing an ecosystem that nurtures AI talent is vital for the digital economy, and collaboration with global institutions will enhance efforts in ethical AI, cybersecurity, and automation,” she added.

This year, the allocation for higher education rose nearly 5%, from INR476.19 billion (about US$5.4 billion) last year to INR500.77 billion (US$5.7 billion).

Around INR200 billion (US$2.29 billion) for private sector-driven research, development, and innovation over the next five years was also announced, in line with the government’s vision to make India a global hub for knowledge and innovation.

Expansion of IITs

Overall funding for Indian Institutes of Technology (IITs) increased by almost 10% in the new budget.

It includes provision for 10,000 fellowships to foster technology research at IITs and the Indian Institute of Science (IISc), Bengaluru, with increased financial support as part of the Prime Minister’s Research Fellowship scheme.

Sitharaman said the student population at the 23 IITs more than doubled over the past decade, from 65,000 to 135,000. She announced an expansion of places for an additional 6,500 students and said new infrastructure, including hostels, will be developed at five newer IITs established after 2014.

“The next five years will see significant advancements in technological research at premier institutions such as IITs and IISc, fostering a culture of innovation and research excellence,” Sitharaman said.

According to Pawha, the expansion of IITs, especially support for the five “third-generation” IITs and the development of IIT Patna's infrastructure, was a positive step.

“Increasing student intake by 6,500 will enhance access to quality STEM education and align with India's technological ambitions. Strengthening global collaborations will also boost research output and improve the employability of graduates, preparing them for the demands of Industry 4.0 and 5.0,” said Pawha.

Sitharaman also announced the establishment of five national centres of excellence for skilling, which will leverage global expertise and partnerships to equip youth with the necessary skills for the ‘Make for India, Make for the World’ manufacturing initiative. These partnerships will focus on curriculum design, training of trainers, skills certification frameworks, and regular reviews.

Increase in medical school places

By the next year, 10,000 places will also be added to medical colleges and hospitals, with another 75,000 places added over the next five years.

Academics and students said this could help to reduce the outflow of medical students to other countries.

“With a large number of students competing for limited seats, this increase can help accommodate more aspiring medical students and reduce the trend of students seeking education abroad,” said Rajendra Agrihari, a medical student in central Madhya Pradesh province.

He said expanding medical education capacity was essential not only to meet local healthcare needs but also to retain talent within the country, and would lead to a “more robust” healthcare system that can better serve the population.

However, a leading doctor at the All Indian Institute of Medical Sciences (AIIMS) in Delhi, who did not want to be named, said that the government should ensure quality education in medical institutes.

“We have seen that over the years, the government has been trying to increase medical seats, while institutes lack academics and infrastructure. It’s important that the government should ensure quality education.”

Currently, about 2.3 million students take the National Eligibility cum Entrance Test (NEET) for admissions to undergraduate medical courses across different medical institutes of the country, but only 110,000 seats are available.

The addition of 10,000 seats next year and 75,000 over five years is seen as a vital step by students and medical professionals.