The University Grants Commission (UGC) is soon expected to come up with Regulations on Setting up and Operation of Campuses of Foreign Higher Educational Institutions (FHEIs) in India to pave the way to open their campuses in India. This move aligns with the NEP 2020 to offer students wider educational choices, and facilitate the ‘internationalisation’ of higher education in the country.
Accordingly, the UGC released the draft regulations on the above subject and notified it on January 5, 2023. The academic committee was open till February 3 to receive public opinion and suggestions. Since the time for feedback is over, the UGC is expected to send the regulations before the government for approval after incorporating the necessary changes.
This initiative of the government follows Order No.7 dated 11.2.2000 of the Department of Industrial Policy and Promotion under the Ministry of Commerce and Industry, allowing FDI up to 100% on the automatic route in the education sector.
As per the FDI Policy on education, foreign entities can invest in the Indian education sector without any prior approval of the government, subject to specific sectoral rules/regulations subsequently laid down on October 1, 2011.
The NEP document suggests that the top 100 universities in the world be permitted to function in India by way of a statutory framework. The UGC draft on foreign universities however, takes a realistic view and allows institutions with top-500 international ranking to set up campuses in India.
With the new regulation on FHEIs coming to force, the Indian higher education system framework will have two distinct regulations. One for the FHEIs to cater for the needs of global students and a separate one for the Indian HEIs. The UGC Regulations on Minimum Standards and Procedures for awarding degrees and the UGC Regulations on Minimum Qualifications for Appointment of Teachers and Other Academic Staff in Universities and Colleges, applicable to all other HEIs, will not cover the FHEIs.
The FHEIs would have meet the same standards as their parent institutions in their country of origin as per the draft regulation. In addition to conferring degrees, diplomas, and certificates in all disciplines, they will be allowed to conduct UG, PG, Doctoral, Post-Doctoral and other programmes subject to they being ‘equivalent’ to those of the Indian institutions.
The draft gives these varsities the autonomy to decide their operational processes. There are stipulations that the universities offer full-time programmes offline rather than online or distance learning on their campuses across the country, and the initial approval for operation will be ten years.
According to the draft regulations, these institutions for a potentially ‘global’ student population, the criteria for admission and fee structure will be decided by the foreign institution concerned. The foreign varsities will determine the fee structure, which the UGC says should be ‘transparent and reasonable’. It says that ‘based on an evaluation process’, full or partial or need-based scholarships may be provided without any obligation.
According to the draft regulation, foreign institutions have to avoid offering any programme of study ‘which jeopardises the national interest of India’ and to ensure that their operations are not ‘contrary to the sovereignty and integrity of India, the security of the state, friendly relations with foreign states, public order, decency, or morality’.
Paradoxically, foreign institutions are not permitted to offer online and open distance learning programmes of study, even though the NEP has posed these as practical means of expanding enrolment and increasing ‘access’ to education.
Though the critics of this development argue that such a move will encourage large-scale profiteering in the name of education, it must be recalled that the private higher education institutions also operate with a profit motto.
The setting up of foreign campuses in India will benefit the country in many ways. After Chinese students, Indians are the largest diaspora of global students currently enrolling in institutions like the US, UK, Germany, Russia, and Australia. In the financial year 2021-2022 while in the year 2022 it is estimated that nearly 4.5 lakh Indian students went abroad for higher education leading to close to $ 28-30 billion of outflow of funds. It is estimated that by 2024, 1.8 million students will go abroad and spend about Rs. 6.4 trillion in tuition and living expenses, which is roughly 2.7% of India’s GDP.
With the setting up of foreign campuses, students who seek admission abroad will find an option with much lesser living costs. Even though foreign varsities may not widen the base of the entry point of higher education, it could certainly make India an attractive global study destination. It will also generate plenty of job opportunities create more avenues for faculty training, create modern infrastructure, and facilitate dissemination of emerging teaching pedagogy and technology.
Campuses of reputed foreign higher education institutions will enhance student choices in selection of their electives and specialisation. Higher enrolment in research courses may develop the ecosystem in India. This move will bring the best global practices and programmes to our landscape efficiently and effectively and facilitate best competition and benchmarking practices.
The UPA government in the past tried to bring forth a Foreign University Bill thrice; in 1995, in 2005 and later in 2010, with similar objectives but had to shelve it in the face of opposition. This time the government has the majority to drive the initiative forward.
The challenge however is getting FHEIs to actually establish campuses in India.
