India holds an important place in the global education industry. The country has more than 1.4 million schools with over 227 million students enrolled and more than 36,000 higher education institutes. India has one of the largest higher education systems in the world. However, there is still a lot of potential for further development in the education system. India has become the second largest market for e-learning after the US. The sector is currently pegged at US$ 2-3 billion, and is expected to touch US$ 40 billion by 2017. The distance education market in India is expected to grow at a Compound Annual Growth Rate (CAGR) of around 34 per cent! during 2013-14 to 2017-18. Moreover, the aim of the government to raise its current gross enrolment ratio to 30 per cent by 2020 will also boost the growth of the distance education in India.
The education sector in India is poised to witness major growth in the years to come as India will have world’s largest tertiary-age population and second largest graduate talent pipeline globally by the end of 2020. As of now the education market is worth US$ 100 billion. Currently, higher education contributes 59.7 per cent of the market size, school education 38.1 per cent, pre-school segment 1.6 per cent, and technology and multi-media the remaining 0.6 per cent.
Higher education system in India has undergone rapid expansion. Currently, India’s higher education system is the largest in the world enrolling over 70 million students while in less than two decades, India has managed to create additional capacity for over 40 million students. At present, higher education sector witnesses spending of over Rs 46,200 crore (US$ 6.78 billion), and it is expected to grow at an average annual rate of over 18 per cent to reach Rs 232,500 crore (US$ 34.12 billion) in next 10 years. India’s IT firms are working with academic institutions and setting up in-house institutes to groom the right talent as these companies move to Social Media, Mobility, Analytics and Cloud (SMAC) technologies.Recent Developments:
The education and training sector in India has witnessed some major investments and developments in the recent past. Some of them are:
- The Government of India aims to increase digital literacy to at least 50 per cent of Indians from currently 15 per cent over a period of next three years
- US based multinational technology major Intel Corporation, has partnered with Extramarks Education, a digital learning solutions provider, to tap the US$ 40 billion private school sector in India and thereby provide optimised learning solutions and extend computing technologies to students and schools in the country
- EdCast, a technology education start-up based in Silicon Valley, plans to invest up to US$ 50 million in education based technology and tie-up with around 500 educational institutions to build digital content and curriculum for educational institutions in India
- Tata Trusts, part of the Tata Group, has entered in to a strategic partnership with web-based free learning portal, Khan Academy, and seeks to use technology to provide free education to anyone, anywhere in India
- The Indian Institute of Science (IISc), Bangalore has become the first Indian institution to enter the Top 100 universities ranking in engineering and technology, published by The Times Higher Education of London
- India Educational Investment Fund (IEIF), an early stage impact investment fund focused on the educational sector funded by Dell Foundation, has made its first two investments in education-based startups: Report Bee and Guru-G
- Tata Institute of Social Sciences (TISS) launched the ‘School of Vocational Education’ program to offer vocational training courses in 20 sectors or verticals in association with relevant training partners in 25 different cities across India
- Anuna Education, a partner to National Skills Development Corporation (NSDC) has announced the eEntrepreneurship Program in collaboration with eBay India. Anuna Education will train entrepreneur to sell their products on eBay globally in collaboration with eBay India along with a practical training on how to sell the products to global buyers