Cabinet nod for foreign varsities to set up campuses in India

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Cabinet nod for foreign varsities to set up campuses in India​

NEW DELHI: The country just took a big step for dramatically enhancing the profile of higher education in the country. On Monday, the Union cabinet cleared the Foreign Educational Institutions (regulation of entry and operation) Bill, which aims to allow foreign universities to set up campuses in India.

The bill, which was adopted without changes, is expected to be introduced in Parliament after the recess of the budget session. If cleared, it would widen the definition of FDI in higher education and is expected to not only shake up the market but also throw up exciting possibilities for top Indian teachers. An excited HRD minister Kapil Sibal said the bill would lead to a ‘‘larger revolution than even in the telecom sector’’.

While the bill will be opposed by the Left, it shouldn’t face any serious obstacle in Parliament because the BJP is also in favour of the move, even though it might raise some objections on a provision or two of the bill.

Once it is cleared, some of the top foreign universities, said to be waiting in the wings, are expected to set up campuses in India. The Atlanta-based Georgia Tech University has already bought 250 acres in Hyderabad. Although Yale University is interested in having a presence in India, and welcomed the cabinet clearance, its assistant secretary George Joseph told TOI that there were no plans as of now to set up a campus here.

While the foreign universities would follow the national laws, they will not have to give reservation in admission to SC/ST/OBC students. The bill treats them as private universities. Even Indian private universities are free of quota-based admissions.

Similarly, foreign universities will have freedom to fix fees and decide their admission process.

The Foreign Educational Institutions (regulation of entry and operation) Bill makes it mandatory for foreign universities to publish a prospectus. Also, the bill disallows foreign educational providers from repatriating profit made from Indian campus through education.

With foreign direct investment in higher education already allowed since 2002, the bill stipulates that any
foreign university interested in setting up a campus in India will have to deposit a corpus of Rs 50 crore with the body that will register them. The registering body will be the University Grants Commission (UGC).

The bill promises time-bound registration to foreign universities, although they will have to go through a series of registrations at various levels. The registering body after going through the application will advise government whether the foreign university be allowed or not.

Asked what happens in case a foreign education provider sets up a campus in collaboration with private Indian university, ministry source said, ‘‘It is the foreign education provider who will have to come for the registration with details of collaboration.’’

Kapil Sibal was quick to welcome the cabinet approval. He said, ‘‘This is a milestone which will enhance choices, increase competition and benchmark quality. A larger revolution than even in the telecom sector awaits us.’’

Cabinet nod for foreign varsities to set up campuses in India - India - The Times of India

 

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George Tech, others ready to roll out campuses, poach Indian profs
Hemali Chhapia | TNN

Mumbai: In 2008, when Atlanta-based Georgia Tech University bought 250 acres in Hyderabad it left many gaping. It did something even more astonishing afterwards: it invited its own faculty members to quit their jobs and consider moving to India.

A professor in the computer science department of the university told TOI: “Each one of us got a formal note. Even more amazingly, he added, all of us were offered the same salary that we were getting in Georgia. It was clearly an offer very few would even think of refusing; given the cost of living in India, it would translate into a fortune, if not a killing.’’ The note read, “Those who take a transfer to Hyderabad, or are recruited for the India campus, will be offered the same dollar salary compensation that is paid in Georgia.’’

Quite a few US and European varsities, which have plans of setting up a campus in India, have sent out similar messages to their staff. With the Centre paving the way for foreign universities to set up campuses in India by clearing a bill, it can only mean one thing: poorly-paid academic superstars of the country’s top institutes can expect to get value for their worship: lowlypaid teachers will be poached.

Three American academics L Rumbley, I Pacheco and Philip Altbach, who drew up a chart, found that Saudi Arabia paid its professors the highest on an average— $6,611, followed by Canada at $6,548 and the US at $5,816 per month. India pays only—$1,547 (see chart). S Biswas, dean of academic affairs at the IIT-Bombay, said, “I gave up a high-paying job in the US and came to teach here. A lot of us will not merely join a foreign university for the pay. The university has to have a complete study environment.

 

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No threat from foreign universities entering India: IITs, IIMs

PTI, Mar 16, 2010, 12.03pm IST

NEW DELHI: Higher educational institutions, including IITs and IIMs, on Tuesday hailed the government's go-ahead for a bill to allow entry of foreign education providers in India and sought to allay any threat posed by the institutions from abroad.

After the Cabinet approved the Foreign Educational Institution (Regulation of Entry and Operation) Bill, 2010, these institutions appeared upbeat about prospects of entry of foreign universities in India.

"At the level of IITs, we welcome such a move. We have no apprehension about the entry of such institutions," Prof Gautam Baruah, director IIT Guwahati, said.

As apprehensions have been raised over the possibility of IIT and IIM faculty joining the foreign institutions, he said, some faculty may join them but majority would prefer to continue with the IITs.

"Money is not the only matter which would attract the faculty. A right environment is important. It takes huge time and effort in setting up a institute of IIT standards. It will take years for them to come to that level," he said.

"There may be some faculty who will join the foreign institutions. But that will not be an issue," Baruah added.

IIM Lucknow director Prof Devi Singh said it is a good move and will help bring internationally reputed education providers to India. "It is important that the foreign institutions entering India offer the same degrees and diplomas that they are offering back home. This will help ensure that the certification provided by them in India will have the same value internationally as their current qualification," Singh said.

They need to follow the same curriculum and quality of education which they provide in their own countries, he said.

Delhi University Vice Chancellor Prof Deepak Pental said there is nothing to worry about the entry of foreign institutions to India.

"This will help Indian institutions to come up to global education standard. Indian institutions have better human resource and government is supporting quiet well," he said.

Pental did not rule out some faculty joining the foreign institutions.

"But I do not see very big research taking place in the new foreign institutions to be set up in India. Most of them may come in subjects like management and law. I do not think they will be interested to come in Science and Technology," Pental said.

Private institutions like Indian School of Business welcomed the move. “We have always believed that the best public policy for improving educational institutions is to enable and encourage competition. The introduction of this bill allowing FDI into India seems to be a step in the right direction," said Ajit Rangnekar, Dean, ISB.

"I am not aware of the details of the bill, but would hope that the provisions applicable to foreign universities are also extended to Indian Institutions of high caliber, and that we have a level, competitive, growth oriented playing field," he said.

Foreign universities like Yale have welcomed the Indian government’s move.

"It will increase quality and access in the Indian education system. It is an opportunity programme for the foreign universities," George Joseph, assistant secretary for international affairs of Yale University, has said.

Though Yale has no immediate plan for setting up a campus here, it has entered into more than 50 collaborations in India and is interested for more such partnerships, said Joseph, who is currently visiting the country.

 

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Foreign university campuses to help India save $7.5 billion outflow
New Delhi, Mar 21 (PTI):

Allowing foreign universities to set up their campuses in India will help the country save up to USD 7.5 billion (about Rs 34,500 crore) foreign exchange annually that students spend on studying abroad, industry body Assocham said.

''It will not only dramatically enhance profile of higher education in India but help it save outflow of about USD 7.5 billion of foreign exchange per annum as large number of Indian students go abroad to receive higher education,'' Assocham said.

Assocham President Swati Piramal said students going abroad, cost the country a foreign exchange outflow of USD 10 billion annually and foreign universities campuses in India could prevent at least three-fourth of students from leaving the country for higher education.

On March 15, the Union Cabinet approved a Foreign Educational Institution (Regulation of Entry and Operation) Bill, 2010, to allow foreign education providers set up campuses in India. The Cabinet clearance has paved way for its introduction in the Parliament.

The chamber said over five lakh students choose to go overseas every year to obtain higher education which include professional courses in engineering, medical and management.

Foreign universities in India would also prevent brain drain as large number of Indian students studying abroad opt to work overseas rather than returning home, Piramal said.

Assocham said several foreign universities have plans to enter India especially at places like New Delhi, Hyderabad, Chennai, Chandigarh, Pune and Mumbai.