Education and the

World Bank in India

Sam Carlson
Lead Education Specialist
scarlson@worldbank.org

Summary
Primary education is a fundamental right in India, and
at the international level an important Millennium
Development Goal to which India and the Bank are
totally committed.
GOI and States increasingly recognize education as a
critical input for human capital development,
employment/ jobs, and economic growth, and are
putting major financial and technical resources into this
effort.
Nevertheless, demand for education far exceeds
supply, in terms of both access and quality, at all
levels.
Anxious to get YOUR views as to how the Bank can
improve its impact on access, learning outcomes and
reducing skills shortages.
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Basic Education
Two decades of focused programs in basic
education have reduced out-of-school youth to
about 10 M (down from 25 M in 2003), most
from marginalized social groups. Net
enrollment rate is 85%, with social disparities.
Key challenge is to finish the access agenda
and dramatically increase focus on quality,
with more attention to classroom processes,
basic reading skills in early grades, teacher
quality and accountability, community/parent
oversight, evaluation/assessment.
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Secondary Education
Access and Quality remain big challenges.
Gross enrollment rate of 40%, with
significant gaps between genders, social
groups, urban/rural, such that most
secondary students are urban boys from
wealthier population groups.
Private aided and unaided schools = 60%
of all secondary schools, and growing.
Overloaded curriculum, poor teaching
practices and low primary level quality
affect secondary quality.
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Vocational Education and

Training (VET)
VET system is small, and not responding
of needs of labor market; <40% of
graduates find employment quickly.
Insufficient involvement of industry and
employers in VET system management,
internships.
Lack of incentives of public training
institutions to improve performance.
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Technical and Higher Education

Numerically huge: 330 universities and
18,000 colleges
Substantial private provision in
professional education.
But just 11% of youth 18-23 are enrolled.
Problems of capacity, quality, relevance,
and public funding. Hard to retain
qualified faculty. Limited research.
Several world-class institutions.
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GOI Education Strategy

Unprecedented priority to universal elementary
education.
Sarva Shiksha Abhiyan: aims to universalize elementary
education by 2010, and improve learning outcomes.
Education cess of 3% on income tax, corporation tax,
excise and customs duties generates necessary resources
Cost-Share: was 50/50 (2007), moving to 65/35
Center/State
Estimate: 11th Plan: 07-12: 60,000-70,000 crores
(US$17 billion)
Increased focus on quality and upper primary in phase II.
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GOI Strategy (continued)

National Mission for Skills is being set up,
looking at both VET and secondary
education
New centrally sponsored scheme to update
all industrial training institutes (ITIs)
Significant investments in higher education
(including reforms and expansion) are
expected

Bank Strategy and Support

IDA Lending: 0%, 35 years to repay with first 10
years grace (no repayment)
Since FY00: over US$ 1 Billion (Rupees 40
billion) committed to sector.
Over last 10 years: eight State-level District
Primary Education Projects
US$ 500 M for SSA I; Additional US$500 M in
November 2007 for SSA II
Increased focus on quality in SSA II
Partner with European Commission and UK DFID
Still a small player: Bank $ is less than 10% of GOI $
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Bank Strategy and Support

(continued)

US$ 280 M for VET: support 400 Industrial

Training Institutes, for improved quality and
relevance (June 2007)
US$ 250 M for Technical Education and
Engineering: reforms in 128 competitively
selected engineering institutions in 13 states
to address skills shortages
US$ 70 M for polytechnics in six remote
states (possible $300 M additional)
State education reforms in Orissa and AP
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Collaboration with Civil Society

Over 7,000 NGOs participating as partners in SSA
Alternative education programs: bridge
courses
Monitoring of quality
Capacity-building of VECs
Reference Groups advising States, Districts and
Blocs
Contracting (e.g. MP with Pratham)
Not surprisingly, varies greatly by State
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Bank Research
Elementary Education
Impact evaluation regarding:
Incentive payments and schooling inputs on
student learning
Dissemination of education information on
school governance and student outcomes
School characteristics and student outcomes
Instructional time on task survey

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Bank Research
Early Childhood Development focus on
integrated (health/nutrition/education)
approaches
Will feed into US$ 450 M Integrated Child Development
Services Project

Secondary Education major analytical study

related to expanding access, particularly for girls
and marginalized groups, and to role of private
sector
Higher Education contribute to debate
regarding how India can address skills shortages
among HE graduates, linked to economic growth
opportunities.
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Banks Limitations
Engagement in Indian education is
largely through centrally-sponsored
schemes, while most implementation
happens at the State level. Need to find
ways to foster dialogue and technical
assistance with States, and increase
exchanges with civil society on
substantive policy issues.

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Additional Issues for

Discussion
Access versus quality tradeoffs
Role of public and private sectors in
education financing and provision
Prioritization of education levels (basic,
secondary, VET, higher)
Role of civil society in policy debates and
project implementation
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Thank You

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