Education as a Economic Growth Tool

-- Rupali Bhagat, Senior Instructor- Business and HR, Australian University.

Thursday, January 18, 2024

India: the second most populated country in the world with the largest youth population have always focused on increasing the literacy rate in the country. The government offers various programs and opportunities through various schemes spread all over the regions enabling the children to attend school and attain education. The government continuously emphasized the development of ‘human capital’ as it directly supports economic development of the country. The growing literacy rate in India is a critical factor for the social economic progress. According to the National Survey of India, the literacy rate of India stands at 77.7% approx. in 2023. The figures have gone up to 4% in past years. If the literacy rate grows at the same pace, then as per UNESCO, India might achieve Universal Literacy Rate by 2060. The current literacy ranking of India is #169 which is not considered high.

The educational process can be divided into three phases: Teaching and Coaching (T&C), Learning and Practice (L&P) and Training and Development (T&D). Any educational program that empowers the pupil with these three components is bound to make the learner skillful and competent in the global market. India’s has a huge educational sector, and with its large English-speaking population it enables delivery of education easily. The figure explains the important components of education which are interlinked.

During the pandemic COVID-1 when the world came to a standstill the Indian educational sector was resilient and kept moving ahead by offering educational opportunities to students. Innovators, creators, and designers worked day and night to blend and offer solutions to continue the education at all levels. These futuristic solutions will now remain as part of Indian education in form of its online and digitalization efforts. This was the time when the traditional education tools and systems rapidly got replaced with new technology. It looks that the educational sector will continue to use and further develop technology in the form of AI (Artificial Intelligence) and Machine Learning. The figure below shows the general benefits of education to an individual and to the economy.

National Economic Policy (NEP): The government transformational National Economic Policy (NEP) was released in 2020 and was actively adopted in the academic year 2023-24. The current NEP is evidence that India has considered education as an important pillar of economic growth. The NEP seems to bring significant changes to the current education system and at same time overcome the existing pitfalls of the existing education system. In the longer run the students will benefit from the NEP in various forms. NEP aims to introduce a 5+3+3+4 educational structure. The new proposed structure will serve as a replacement to the decades old 10+2 structure. The new structure aims to prepare students for a competitive world ahead by empowering them with skills and knowledge needed in the real job market. The system can make the pupil employable in local and international markets. This structure will include foundation stage for 5 years, preparatory stage for 3 years, Middle school for 3 years and the last and final stage is secondary stage for 4 years. Apart from the students, the NEP focuses on developing the educators by introducing measures like 4 years B.Ed. program as the development of educators along with the students is important for overall growth of the educational sector. The NEP aims to prepare the nation to become a pioneer in global education. The NEP can support the achievement of UN-SDG #4 which is about Quality Education. Overall, the policy is progressive and when applied consistently will lead the country towards holistic growth in the educational sector and finally in the economy.

Rupali Bhagat, Senior Instructor- Business and HR, Australian University. PHRI, CERTIV, BBA, B.Ed., PGDBA(HR), PGJMC(Journalism), MA(ECO.), Volunteer in INJAZ and LOYAC, Yoga Instructor, Certified Life, and wellness Coach.