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Education News Updated Dec 17, 2025

India's Higher Education Reform: Why States Hold the Key to Global Leadership

The Chief Economic Adviser argues that states must drive the next wave of higher education reform in India. He highlights a critical need to move from controlling institutions to stewarding them for better outcomes. Key priorities include tackling faculty shortages and fostering deeper industry partnerships in curriculum and research. This collaborative approach is seen as vital for India to become a global hub for learning and innovation.

State-led reforms key to strengthening higher education in India: CEA Anantha Nageswaran

New Delhi, Dec 17

The next phase of higher education reform in India must be led by states, said Dr Anantha Nageswaran, Chief Economic Adviser to the government, on Wednesday.

Speaking at the CII Global Higher Education Summit in New Delhi, Nageswaran outlined key priorities for states, including a shift from control to stewardship, and the need to urgently address faculty shortages through mechanisms such as professors of practice.

He noted that moving from input-based to outcome-based regulation, adopting an entrepreneurial approach in public administration, and financing institutions based on differentiated roles and outcomes can help scale the reforms.

Nageswaran also called for deeper industry engagement in curriculum design, research, and governance.

“Industry can co-design curricula, offer credit-bearing internships, support applied research, share infrastructure, and participate meaningfully in governance,” he said.

“Collaboration between government, states, industry, and citizens can help India move from scale to leadership and emerge as a global hub for learning, research, and ideas,” the CEA added.

Nageswaran shared that India’s demographic and economic inflection point, structural shift in global higher education landscape, AI-enabled pedagogy, and the change in policy with National Education Policy (NEP) 2020 and evolving regulatory thinking, are the four converging factors that show that the present time is uniquely suited for ambitious reform.

At the event, Prof Anil Sahasrabudhe, Chairman, National Education Technology Forum, highlighted how recent reforms in higher education are creating a future-ready, student-centric ecosystem anchored in quality, flexibility, and innovation.

He noted that the proposed new regulatory framework will bring all higher education regulators under a single umbrella with a single-window approval system, enabling institutions to offer multidisciplinary programs with greater ease.

Dr Naushad Forbes, Past President, CII & Chairman, highlighted that the deepest source of long-term resilience for any economy or institution lies in the quality of its human capital, which is built through a combination of education and accumulated skills.

Economic transformation depends not only on the creation of knowledge but on the ability of skilled individuals to translate ideas into practical outcomes.

Emphasising the central role of higher education in innovation, he called for a substantial increase in public research funding within universities.

The expert argued that universities must primarily be seen as creators of talent and advocated a shift from prescriptive regulation towards greater autonomy and competition.

— IANS

Reader Comments

Priya S

The focus on 'professors of practice' to tackle faculty shortage is brilliant. We need people who have actually worked in the industry, not just PhDs with theoretical knowledge. This can make our graduates much more employable.

Rohit P

Single-window approval for universities? That would be a game-changer! The current red tape is a nightmare for anyone trying to start or run an institution. Less bureaucracy means more focus on actual teaching and research.

Sarah B

While the ideas are good, I'm skeptical. The success depends entirely on state capacity. Some states have excellent administrations, others... not so much. A one-size-fits-all approach won't work, but neither will leaving it entirely to uneven state machinery.

Karthik V

Industry co-designing curriculum is crucial. I graduated in engineering 5 years ago and half of what I studied was outdated. Students need to learn tools and concepts that are actually used in the market today. Jai NEP 2020!

Michael C

The point about increasing public research funding within universities is spot on. India spends a tiny fraction of its GDP on R&D compared to other major economies. You can't expect world-class innovation without investing in it. The demographic dividend needs this investment.

We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.

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