In these difficult geopolitical times, it is hard to find positive news. Yet an important shift is under way in India. International education is expanding at speed. This is not the traditional study abroad model. Instead, a growing number of foreign universities are setting up campuses in India. Foreign independent schools are also exploring opportunities. Timing has played a key role. As the West tightened immigration, India opened its education sector. I say sector because India has both central and state laws and regulations, and there is now competition to attract these universities and schools. Many edu-cities are being planned across states.
The University Grants Commission has led this shift by introducing regulations that allow foreign universities of a certain standing, within the top 500 rankings, to set up campuses in India. They may do so on their own or with partners. The regulations are clear and transparent. They offer flexibility to establish and operate while ensuring quality and accountability. The success of these campuses will depend on the quality of education they provide and whether they help bridge the research gap. I am optimistic that most will get it right and build strong institutions in India.
Setting up and operating requires a sound understanding of the law and respect for regulation. It is not for the faint-hearted, and getting it right at the start can prevent problems later. Education falls under the concurrent list of the Indian Constitution, so institutions must understand both state and central laws. Beyond education rules, a campus will also deal with laws on land, labour, corporate matters, taxation, intellectual property, foreign investment, not-for-profits and more. If a university is considering a joint venture in India, it will need a legally sound and enforceable joint venture agreement.
Interestingly, NITI Aayog, in its paper on Internationalization of Higher Education, has suggested allowing a hybrid model where a foreign university operates within an Indian institution. This model is common in places such as Singapore and Malaysia and should be considered in India as well. It could make entry into India easier and help institutions build stronger academic and research links. Regulators must ensure that rules are enabling and that institutions are encouraged to cooperate and compete.
As for foreign independent schools, they must work within the existing legal and regulatory framework for domestic schools. There is no separate regulation similar to that for foreign universities. As a result, the landscape is more complex and requires deep expertise to build compliant models. Licensing models are common, but they do not create direct participation in the fullest sense. There has been a push to allow for-profit models for schools affiliated only with international boards. Haryana does allow a company to set up a school. More states should follow in my view. With the right checks and balances, there is no reason why international board schools should be denied structural flexibility.
The era of internationalisation is here. The old idea of brain drain should now be reversed in a meaningful way and give further momentum to building a viksit shiksha environment in India. The global expansion of Indian institutions should also continue. Indian campuses abroad will not only export our education strength but also serve as an important bridge in these complex geopolitical times.
This artile is authored by Mr. Vivek Kathpalia, Partner at Cyril Amarchand Mangaldas.
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