Budget 2024: Higher Education sees marginal rise; Gets Rs 47000 cr; RUSA Funding abolished, UGC Fund slashed too

In the latest budget, higher education receives a modest boost, securing a total of Rs 47,000 crore. Notably, the Rashtriya Uchhatar Shiksha Abhiyan (RUSA) funding has been discontinued, making way for the newly introduced Pradhan Mantri Uchchatar Shiksha Abhiyan (PMUSHA), which is allocated Rs 1814.94 crore.

Union Finance Minister, Nirmala Sitharaman presenting Interim Budget 2024-25

Union Finance Minister, Nirmala Sitharaman today presented her sixth Budget, which is interim Budget presented just before the General Elections 2024. Compared to the previous fiscal year's allocation of Rs 44,094.62 crore, the interim budget for 2024 reflects a marginal increase to Rs 47,619 crore dedicated to higher education.

However, significant reductions have been made in other areas, such as the University Grants Commission (UGC) fund, which has been slashed by more than half—from Rs 5200 crore to Rs 2500 crore. Similarly, the funding for the All India Council for Technical Education (AICTE) has been marginally reduced from Rs 420 crore in the previous budget to Rs 400 crore in the interim budget.

Expectations were high within the education sector for the 2023 budget, given its prominence as a key focus area during the second term of the Modi Government and its presentation just before the 2024 General Election.

Allocation Breakdown for Key Educational Institutions:

Autonomous Bodies:

The total allocation for autonomous bodies, including premier institutions like IITs, IIMs, Central Universities, NITs, IISERs, and IIITs, has seen a noteworthy increase from Rs 31,000 crore to Rs 36,000 crore in the Interim Budget 2024.

Central and Deemed Universities: Central universities have emerged as major gainers, receiving an allocation of Rs 15,928 crore, up from Rs 11,528 crore in the previous fiscal year. Deemed universities also experienced a notable 20% increase, reaching Rs 596 crore from the Rs 500 crore allocated last year.

Indian Institutes of Management (IIMs): Funding for IIMs has faced a reduction of over 20%, dropping from Rs 300 crores in the Budget 2023-24 to Rs 221 crore.

Technical Institutes (IITs, NITs, IIITs): Funding for technical institutes has witnessed an overall increase, reaching Rs 15,880 crore. Specifically, IITs secure Rs 10,324 crore, NITs receive Rs 5040 crore, while IIITs face a slight reduction to Rs 515 crore from the Rs 560 crore allocated in the previous budget.

National Education Mission Reforms

Under the National Education Mission, the Finance Minister has discontinued funding for the Rashtriya Uchhatar Shiksha Abhiyan (RUSA) scheme, which received Rs 1500.00 crore last year. In its place, Pradhan Mantri Uchchatar Shiksha Abhiyan (PMUSHA) has been introduced with an allocation of Rs 1814.94 crore to support colleges and universities.