No more UGC funding for university led mgmnt depts
In a recent notification, the University Grants Commission (UGC) has decided to discontinue the scheme of ‘Development Assistance for Upgradation of Existing and New Management Departments’.
The apex body has asked varsities to settle their grant accounts and dues incurred up to May 31 in this regard.
The decision to stop funding management departments has been enforced to stop mushrooming of more B-Schools. The move follows Supreme Court’s recent judgement stating that B-schools with university affiliation need not take any other approval. Various new colleges and institutes have set up management departments, with affiliation from universities.
In 2007, UGC had started a scheme of development assistance, doling out between Rs 50 lakh and Rs 70 lakh each to the management departments of at least 300 universities every year as recurring cost other than a one-time grant of nearly Rs 50 lakh. The number of B-Schools in the country at that time was 1,150, which later swelled to 3,700 in 2012. With the economic slowdown engulfing the market, various top B-Schools struggled to place their students.
