The foreign invasion in education will take its toll

The Union cabinet has served a “wake-up call” on educational institutions in India by nodding for the foreign educational institutions (regulation of entry and operation, maintenance of quality and prevention of commercialisation) bill, 2010.

Cent per cent foreign direct investment has been there in the education sector since 2000. However, as of now, foreign institutions can not enter the Indian market directly. They can operate only by collaborating with Indian partners. But once the bill becomes legislation, the foreign giants will be able to set up shops directly in the country.

Experts feel that it might impact the existing collaborations between Indian and foreign universities. “Once the foreign universities get direct access, they will no longer need Indian partners. It will, perhaps, affect the lesser-known Indian universities as their foreign partners might consider them to be more of a liability,” Rajendra D Shinde, director, Council of International Programmes, St Xavier’s College, said.

IIT Bombay director Devang Khakhar said that successful collaborations would survive. “If a partnership is doing well, there is no reason for a foreign university wanting to end it. Even with direct access, it will not be easy for them to run solo ventures,” he said.

S Parasuraman, director of Tata Institute of Social Sciences, said, “If foreign universities come here with the intention of doing business, they will make it tough for the our institutions. With government help on the decline, the latter will find it tough to retain good faculty.”

AK Sengupta, convenor of Higher Education Forum, felt that the new bill favoured foreign universities. “Everything will be in favour of the foreign players — in terms of fees, equity/access, restrictive guidelines, etc. Our institutions will not be able to match them as foreign institutions are financial giants. They have bigger brand value, better faculty, superior technology,” he said.