Education is the backbone of any country’s growth, and according to VIT Chancellor Dr G. Viswanathan, India is still not spending enough on it. While speaking at an event in Tamil Nadu, he stressed that both Centre and State governments must urgently increase their fund allocation towards education. He argued that the current spending—around 2.9% of GDP—is far below the global average and inadequate for a country aiming to become a global knowledge hub.
I decided to write about this topic because the demand for more education funding is not new, but it’s becoming more relevant than ever. India has a growing young population, but not enough investment is being made to ensure quality education for all. The infrastructure in many government schools is poor, teachers are underpaid, and public universities struggle with outdated resources. When someone as experienced as Dr Viswanathan raises this point, it reflects the concerns of educators across the country. Without strong investment from both levels of government, we risk leaving millions of students behind—especially in rural areas.
Why More Funds Are Needed in Education
India currently spends less than 3% of its GDP on education, whereas the National Education Policy (NEP) 2020 recommends increasing it to 6%. This gap between intention and actual spending is huge. For comparison:
- Finland spends over 6.5% of its GDP on education
- Brazil and South Africa both allocate around 6%
- Even smaller nations like Vietnam invest nearly 5.5%
Dr Viswanathan’s point is simple: without enough money, no reforms can work on the ground. Teachers need training, schools need smart classrooms, and students need scholarships. All of this requires budgetary support.
Current Challenges That Need Funding
Several areas in India’s education system require immediate financial attention:
- Basic school infrastructure – Many government schools still lack toilets, electricity, or clean drinking water
- Digital divide – Online learning is inaccessible for lakhs of rural students due to lack of devices or internet
- Higher education quality – Public universities are underfunded, which affects research and learning outcomes
- Teacher training and salaries – Most teachers, especially in primary schools, are underpaid and undertrained
Without proper investment, these gaps will only widen and affect India’s future workforce.
Centre vs State: Who Should Spend More?
Both Centre and State governments have responsibilities under the Concurrent List in the Constitution. However, most of the education budget comes from State governments, while the Centre provides schemes like:
- Samagra Shiksha Abhiyan
- PM Poshan (mid-day meals)
- Scholarship programs under the Ministry of Education
Dr Viswanathan suggests that the Centre should also increase its share and play a stronger role, especially in funding higher education, research, and the digital transformation of learning.
How This Can Make a Real Difference
If the government increases funding:
- More students in rural areas can access quality learning
- Public colleges can invest in better labs, libraries, and faculty
- EdTech tools can be provided in regional languages across states
- Students from poor backgrounds can continue education without dropping out due to financial stress
These are not big dreams, but basic requirements.
