Department of Open & Distance Learning

Punjabi University, Patiala

Class : B.Ed.-I Semester : 2

Paper : IX (Educational Planning Unit: 1
and Policy in Contemporary India) Medium : English

Lesson No.
1.1. Education Policy- Meaning & Policy Determinants
1.2. Policy formulation- Role of MOE, NCERT, NITI AYOG
1.3. Educational Planning and financing: Concept, Need, types
Approaches, Principles of financing
1.4. Educational Financing : Financial Participation of Centre
and State Govt. Smagar Shiksha Abhiyan, Mid-day Meal
Scheme and Post-Matric Scholarship

Department website : www.pbidde.org

B.Ed (Part-I)Sem. II 1 Paper-IX

B.Ed (Part-I) Sem. II Paper-IX

Educational Planning and Policy
in Contemporary India
________________________________________________________________________
Lesson No. 1.1 Writer: Dr. Bhupinder Kaur

EDUCATIONAL POLICY-MEANING AND POLICY DETERMINANTS

1.0 Structure of the Lesson

1.1 Objectives
1.2 Introduction
1.3 Meaning And Definition of Education Policy
1.4 Educational Policy Formulation Agencies
1.5 Developments of Educational Policy In India
1.6 Questions for self Evaluation
1.7 Determinants of Educational Policy
1.8 Suggestions
1.9 View Points (Vision) of New Education Policy 2016
1.10 Conclusion
1.11 Suggested Questions
1.12 Questions for Self Evaluation
1.13 Suggested References

1.1 OBJECTIVES
After the study of this lesson, the student will be able to do the following:
 They will be able to coin the meaning of Education Policy.
 They will be able to conceptualize the different thinkers on Education Policy
 They will be able to understand the Formulation of agencies of Educational Policy.
 They will be able to understand the development of Educational Policy in India.
 They will be able to explain the Determinants of Educational Policy.

1.2 INTRODUCATION
Policies may be thought of as the main system which provides the framework for
the accomplishment of intended objectives. Policy is very essential in administration, for it
gives a concrete shape to the political and social objectives which the government lays
down in the form of laws, rules, regulations, etc.
Policies may be looked upon as general guides to action. They may be verbal,
written or implied. They set the overall boundaries for action by individuals or groups in
an organizational setting. They indicate the framework within which executives may make
decisions for the performance of organizational action.
B.Ed (Part-I)Sem. II 2 Paper-IX

1.3 MEANING AND DEFINITION OF EDUCATION POLICY

Educational Policy means the laying down of objectives and goals of education
which may guide the planners, decision-makers and administrators of Education in
carrying out educational administration for the promotion of education, which can "imbue
people with the knowledge, the sense of purpose and the confidence essential for building
a dynamic, vibrant and cohesive nation capable of providing its people with the
wherewithal for creating better, fuller and more purposeful life."
Educational Policy need to be holistic and organic with well established vertical
and horizontal linkages from Elementary Education to Higher Education, with well
defined responsibilities from local to national level so that there may be a clear vision
among all the personnel involved in Educational administration and process. Such an
approach would avoid duplication, overlapping, confusion and help in conservation of
resources. The Educational Policy should not be an arithmetic total of different aspects of
Education-i.e. Higher Education, Secondary Education, Elementary Education, Technical
Education, Adult Education, Distance Education, etc. but should reflect the total thrust,
i.e., reinforcing each other for the benefit of the society.
Education Policy is thus an expression of goals for improving the Educational
situation, the priorities among those goals and the main directions for attaining them
within the cultural, social, economic, historical context of the country and at a 'cost' which
the country and community can afford.
Educational Policy formulation is a complex process as it has to adjust itself to a
large number of variables to ensure its relevance and quality.
Educational Policy is need to be developed in consonance with the internal and
external environment impinging on educational development.
G. Harman (1984) defined education policy as "the implicit on explicit
specification of courses of purposive actions being followed or to be followed in dealing
with a recognized educational problems as matter of concerns and directed towards the
accomplishment of some intended or desired set of goals."
According to James E. Mc Clellan (1968), Policy making is itself a rule-directed
activity that generates the rules that governs the activities of office holders in (educational)
institutions.
Herold Lasswall (2001), While defining it says that education policy, "is a
projected programme of goals, values and practices, which means that there need to be a
clear direction with clear objectives with both moral and economic attributes with clear
plan."
P.V. Narasimha Rao, "Educational Policy must integrate the past, the present and
the future into a new harmonization which could be uniquely Indian."
B.Ed (Part-I)Sem. II 3 Paper-IX

1.4 EDUCATIONAL POLICY FORMULATION AGENCIES

1.5 DEVELOPMENTS OF EDUCATIONAL POLICY IN INDIA

We shall discuss this under the following heads:
i. Developments before the Formulation of Educational Policy in 1968.
ii. Education Policy 1968.
iii. New Educational Policy 1986.
iv. Review of New Educational Policy.

i. Developments before the Formulation of Educational Policy in 1968

Since the inception of the Constitution, there have been large number of
conferences, committees of educational experts, vice-chancellors, Directors of
Education to examine the educational system in specific areas. The important
Commissions appointed were Dr. Radha Krishnan Commission in 1948-49, the
Secondary Education Commission (Dr. Mudaliar Commission) in 1952-53 and the
Education Commission (Dr. Kothari Commission) in 1964-66. Kothari
Commission was the first since independence to examine Educational
developments from all angles. The Government of India realized that "what is
B.Ed (Part-I)Sem. II 4 Paper-IX

needed, therefore, is a synoptic survey and an imaginative look at education

considered as a whole and not fragmented into parts and stages."
The Kothari Commission rightly stressed the role of education in the
process of development. The Commission identified three aspects to inject
educational revolution:
- internal transformation so as to relate it to the life, needs and aspirations of the
nation;
- qualitative improvement so that the standards achieved are adequate, keep
continually rising and, at least in a few sectors, become internationally
comparable; and
- expansion of educational facilities broadly on the basis of manpower needs and
with an accent of equalization of educational opportunities.
The commission recommended that the Government of India should issue a statement of
the National Policy of Education to guide the State and Local authorities. As a follow-up,
the Government of India constituted the committee of Members of parliament of
Education in 1967 to prepare the draft of a statement on the National Policy on Education.
The draft prepared by this committee was examined by Central Advisory Board of
Education. As a result of these discussions and agreements, the statement of National
Policy on Education was issued in 1968.
ii. Education Policy, 1968
The policy spelt out the details and stressed that the educational system must
produce young men and women of character and ability committed to national service and
development. When the Janta Government came to power in 1977, a draft National Policy
on Education (1979) was prepared. But the very next year the Congress Government came
to power again and the draft policy prepared by Janta Government came to an end.
The National Policy of 1968 marked a significant step in the history of education
in post-independence India. It aimed to promote national progress, a sense of common
citizenship and culture, and to strengthen national integration. It laid stress on the need for
a radical reconstruction of the education system, to improve its quality at all states, and
gave much greater attention to science and technology, the cultivation of moral values and
a closer relation between education and the life of the people.
iii. New Educational Policy, 1986
The policy formulated in 1968 had served a useful purpose but could not
accommodate the new developments. Besides, it was felt that a policy should accompany
a detailed strategy of implementation accompanied by the financial and organizational
support.
On January 5, 1985, the Prime Minister Rajiv Gandhi, suggested the development
of New Education Policy. He remarked that "I would strongly emphasize education's
organic link with the productive forces of society." On 19th August, 1985, the Education
Minister K.C. Pant presented a status Report on Education to the Prime Minister entitled,
"Challenges of Education - A Policy Perspective." This was put before the Parliament. A
B.Ed (Part-I)Sem. II 5 Paper-IX

wide discussion was done outside the Parliament by educationists. Based upon
discussions, the National Policy of Education (NPE) was adopted by Parliament in May,
1986. The policy was followed up by an elaboration through the Programme of Action
(POA) which was adopted by Parliament in August, 1986.
iv. Review of New Educational Policy
Para 11.5 of NPE envisages a review of the implementation of various parameters
of the policy every five years. The Union Government had, in May, 1990, appointed a
Committee to review NPE, 1986 (NPERC), under the Chairmanship of Acharya
Ramamurti. The Committee submitted its report on 26th December, 1990. The report was
tabled in both the Houses of Parliament on 9th January, 1991.
The NPERC concentrated mostly on the following areas:
 Equity and social justice;
 Decentralization of educational management at all levels;
 Inculcation of values indispensable for creation of an enlightened and humane
society; and
 Empowerment for work.
Important recommendations of NPERC which have policy implications
1. Enlarging the scope of Article 45 of the Constitution so as to cover Early Childhood
care and education.
2. Non-formal Education (NFE)
3. Adult Education
4. Navodaya Schools
5. National Council for Higher Education (NCHE)
1.6 QUESTIONS FOR SELF EVALUATION
i. In brief describe any one definition of Educational Policy.
ii. What do you mean by Navodaya School?
iii. In your own language discuss about New Educational Policy 1986.
1.7 DETERMINANTS OF EDUCATIONAL POLICY
There are some factors which act as determinants for the formulation of education
policy of a country. Out of these factors, Country Background, which includes location,
geography, population, culture and social stratification patterns etc, have obvious
implication for the formulation of education policy of a particular country. These factors
are discussed here.
i. Geographical Factors: The geography of any particular place in often natural,
which means that it is undefined by man. Man in this respect ought to behave in
accordance with the geography and nature in particular. In this regard, the
education policy cum education system should adapt itself according to these
geographical conditions. Geography of a particular region dictates the type of
building and equipment, means and methods of transporting children to school.
B.Ed (Part-I)Sem. II 6 Paper-IX

Infect, there are three major geographical aspects that influence the
education policy of a country. These are- climate conditions, population
distribution and land configuration.
These three factors influence the content of studies. For example, training
of doctors in the tropics is likely to emphasize more on tropical disease like
malaria etc. Timings of examinations and vacations are also affected by these
factors. In its educational policy, Australia has two systems of education- one for
the urban areas and the other for rural areas. The land configuration influences the
architectural structure of school building. It also determines settlement and
location of schools.
All these factors determine the shape of education policy of a country.
ii. Economic Factors: The type of education largely depends on the economic
strength of any country. Formal education is possible where production exceeds
consumption. In indigenous traditional education, people were trained depending
on the economic conditions and needs of the community. If the economic
condition is poor, education becomes backward in many aspects. If the economy of
a county is strong, then educational aims and curriculum are given a special
direction for making the country prospectus. For example, in the USA and Japan,
education policies are patterned so as to make the individuals graduate, strong and
capable enough to stand on his own feet after education. While in India, educated-
unemployment exits.
For the growth of the capacities of individual citizens and national
development, a good system of education is required. For it no-class distinction in
the planning of education should be permitted. Social disparities should not exist.
For all this, adequate economic resources should be there and education policy
should be given shape accordingly.
B.Ed (Part-I)Sem. II 7 Paper-IX

iii. The Historical Factors: Each country of the world has its own history that shapes
the nations aims, aspirations, activities and destiny. It should be reflected in its
education policy. There is effect of colonization on Indian education. It must be
replaced by our national factors in our education policies.
iv. The Social and Cultural Factors: Schools at large often and closely reflect the
social patterns prevailing in a particular country. As such, the education policy
must reflect the ethos of the people that it has to serve.
Efforts should be made to ensure cultural continuity through fostering the
growth and development of national characteristics while formulating education
policy. Cultural lag should be filled. Social values should be maintained and
retained by the policy. In society message of equality of educational opportunity
for all should be passed through it. Minorities should not suffer due to majority.
v. Political Factors: The political philosophy which controls the government of a
country, often has its inevitable impact on education. This is also true in the case of
education policy. The political factors dictate the kind of administration the system
of education will have. They also underline the features in education system and
the functioning of the same. It is very important determing factor for education
policy. The ruling class introduces its ideology in education system through it.
There is also a close relationship between the national character and the
national system of education maintained by education policy. For example the
national character India is democratic as such its education system is democratic
and strongly influenced by this factor.
vi. Religion Factors: Religion and beliefs have been known to influence and shape
education policy of a country. Religion loyalties dictate aims, content and even
methods of instruction in education. For example, school days are from Monday to
Friday in most of the colonization countries. This is so because more people have
their worship days as Saturday and others on Sunday.
vii. Language Factor: Language is a symbol of the people. Each community or group
has an original Language of its own which often suits its environment and stage of
cultural development. It is important in building the national character.
In a multi-linguistic country, language policy must take care of mother
tongue and other prevalent languages in the country. It should try to strike a
balance among them. This situation is very critical in India where many languages
exist and our education policies have tried to solve this problem to a great extent.
viii. Technological Factors: The emergence of computer technology, internet
technology and other discoveries have changed the face of modern education.
Through information communication technology home learning has been made
possible. Universities are also adopting projects like AUV and e-learning. Today
the influence of technology in education cannot be ignored.
In the light of this, there is a challenge for the educational administrators
and policy makers to see it that the education policy should be shaped and
B.Ed (Part-I)Sem. II 8 Paper-IX

formulated by including the technological changes suitably in it. Today, it is an

important determinant of education-policy formulation.

ix. New Trends & Challenges: There are some new trends and challenges present in
the world scene today, which are becoming strong determinants of education
policy formulation.
(a) Change is the world economy, the general dissatisfaction with the state of
education in the 1980's and findings emerging from academic research on
economic growth, returns to education and user fees, among many other
phenomena, have diverted much to the impetus for education reforms.
(b) In the recent years, a number of initiatives put forward by the international
community have made education a priority on the development agenda. Through
the World Conference on Education for All, held in Jomtien (Thailand), at the
beginning of 1990's, and more recently the Internationally agreed Millennium
Development Goals, the International Community has reaffirmed its commitment
to universal primary education.

x. Determinants Relevant to India: In the context of Indian situations, following

sartorial issues relevant to the country, should act as determinants for enacting
education policy:
 Access to educational opportunities.
 Equity in the distribution of educational services.
 Structure of the education system.
 Internal Efficiency.
 External Efficiency, and
 Institutional arrangement for the management of the education sector.

1.8 SUGGESTIONS
We suggest here the following to improve administrative apparatus in Educational
Administration which has bearing on policy:
i. Need of designing adequate Management Information System;
ii. Micro-level research to pinpoint problem areas;
iii. Continuous monitoring of the education programmers; and
iv. Using O & M techniques to improve Educational System.
B.Ed (Part-I)Sem. II 9 Paper-IX

1.9 VIEW POINTS (VISION) OF NEW EDUCATION POLICY 2016

(Logo)
"Educate, Encourage, Enlighten"

 Developing world class skilled world force-strength higher education-industry

partnership.
 Make education affordable for all and educate our girls for free.
 Flexible education which serves student's needs.
 Holistic education needed which ensures literacy, life skills and employability.
 Life-long learning as student should end their educational pursuits due to lack of
funds.

SUGGESTIONS SAUGHT BY MHRD FOR THE FORMULATION OF NEW

EDUCATIONAL POLICY 2016:-
MHRD Minister Smriti Zubin Irani is taking steps for formulation of new education policy
2016 in order to improve the educational condition of Indian society. She has asked the
common people i.e. educationist, stake-holders, businessman, industrialists to come
forward with their valuable suggestions to improve the current education system of India
She has asked to come up with their suggestions on various issues of education i.e. girl
education, higher education, technical education, adult education etc. She is looking
forward to implement better plans for future generations.
B.Ed (Part-I)Sem. II 10 Paper-IX

1.10 CONCLUSION
An effective education policy includes returning authority of the States and
empowering parents with the opportunity to choose an effective education for their
children from public, private, religious, on-line and home school opportunities. In the past,
formal education was designed to prepare students for the industrial age. Today,
globalization has made our world smaller, but it has also made the importance to that
broad senses of education much greater. Policy makers in education filed must form these
and above mentioned things as their basis for formulating policies.
1.11 SUGGESTED QUESTIONS
a) Define Education Policy in your own words and Describe the most suitable
definition.
b) Explain in detail the determinants of Education Policy.
c) Discuss the developments of Education Policy in India.

1.12 QUESTIONS FOR SELF EVALUATION

a) The Education Policy should not be an arithmetic total of different aspects of
Education. Yes/No
b) Dr. Radha Krishnan Commission was appointed in 1952-53.
Yes/No
c) The first Education Policy was implemented in 1986.
Yes/No
d) The full form of NFC is Non-Formal Education.
Yes/No
e) Article 45 of Constitution is related to Early childhood care and Education.
Yes/No
Answer Key- 1) Yes 2) No 3) No 4) Yes 5) Yes
1.13 SUGGESTED REFERENCES
 Education Policy and Administration: S.L. Goel, Aruna Goel.
 Teacher Education in India: Nizam Elehi.
 Principles, Problems and Prospects of Co-operative Administration: Dr. B.B. Goel.
 Educational Policy & Planning in Contemporary India: Inderdev Singh Nandra.
 New Education Policy 2016 by Sumriti Zubin Irani (Minister of MHRD)
B.Ed. (Part-I) Sem. II 11 Paper-IX

B.Ed. (Part-I) Sem. II Paper-IX

Educational Planning and Policy
in Contemporary India

Dr. Shubhpreet Kaur

______________________________________________________________________
Lesson No. 1.2

POLICY FORMULATION: - ROLE OF MINISTRY OF EDUCATION (MoE),

NCERT, NITI AAYOG

1.2.0 Structure of the Lesson

1.2.1 Objectives
1.2.2 Introduction
1.2.3 Formulation of Educational Policy
1.2.4 Ministry of Education
1.2.5 Objectives of Ministry of Education
1.2.6 Role of Ministry of Education in Policy Formation
1.2.7 The National Council of Educational Research and Training (NCERT)
1.2.8 Role of NCERT in education Policy
1.2.9 NITI AAYOG
1.2.10 Role of NITI AAYOG
1.2.11 Conclusion
1.2.12 Suggested Questions
1.2.13 Suggested References

1.2.1 OBJECTIVES

After studying this lesson, the student will be able to do the following:

 They will be able to understand formulation of Education Policy.

 They will be able to explain the role of MoE.
B.Ed. (Part-I) Sem. II 12 Paper-IX

 They will be able to explain the structure and Role of NCERT.

 They will be able to understand the functions of NITI AAYOG.

1.2.2 INTRODUCTION

Policy may be defined as a course of action that creates a desired objective in the
interest of the masses or the people in a given country. It is a decision-making frame-
work or course of action to achieve a desired effect or change.

Public policy has a clear and unique purpose which is seeking to achieve a desired goal
that is considered to be in the best interest of all members of society, for example good
health, an innovative economy, high educational achievement, improved literacy etc.

1.2.3 FORMULATION OF EDUCATIONAL POLICY

The Union Government has to play a dominant role in educational policy

formulation because of the vital role of Education in Social and Economic development.
Besides, it is also necessary for the Centre to ensure that the different regions of the
country march together and no serious regional imbalances in educational development
are created. To quote J.P. Naik, "In formulating educational policy, therefore, the Centre
will necessarily have to play a more dominant role than what may be strictly justified on a
literal interpretation of the Constitution, and the States will have to adjust their policies to
some extent, not only in deference to the wishes of the Centre, but in deference to the
other States as well."

The National Education Policy (NEP) 2020 was released on July 30, 2020. The Ministry
of Human Resource Development (MHRD) had constituted a Committee for drafting the
National Education Policy (Chair: Dr. K. Kasturirangan) in June 2017. The Committee
submitted a draft NEP for public consultation in May 2019. The NEP will replace the
National Policy on Education, 1986. The change in education policy is made after a gap
of a total of 34 years. But the change was necessary and the need for the time should
have been made earlier.
B.Ed. (Part-I) Sem. II 13 Paper-IX

The earlier system of education was basically focused on learning and giving results. The
students were judged by the marks attained. This was a unidirectional approach to
development. But the new education policy focuses on the relevance of a multi-
disciplinary approach. It aims at all-round development of the student.

New education policy visualizes the formation of a new curriculum and structure of
education which will help the students at their different stages of learning. The change
has to be done in the existing education system in order to make education reach up to
all, ranging from urban to rural areas. It will be towards meeting sustainability by fulfilling
Goal of quality education. The main motive is making a child learn along with becoming a
skilled one, in whatever field they are interested. In this way, the learners are able to
figure out their aim, and their capabilities. The learners are to be provided with integrated
learning i.e. having the knowledge of every discipline. The same is applicable in higher
education too. The new education policy also lays emphasis on the reformation of
teacher’s education and training processes. The critical points regarding this policy can
be highlighted as following:

 The new education policy focuses on the integrated development of the learners.

 It replaces the 10+2 system with 5+3+3+4 structure, which states 12 years of
schooling and 3 years of pre-schooling, thus kids with the experience of schooling
at an earlier stage.

 The examinations will be conducted in 3rd, 5th, and 8th grades only, others will go
for the regular assessments. Board exams will also be made easier and, and held
twice in a year so that each child gets two attempts.

 The policy envisages a multi-disciplinary and integrated approach to the under-

graduate programmes with greater flexibility of exit from the course.

 The state and central government both will work together towards greater public
investments by the public for education will give rise to GDP by 6%, at its earliest.
B.Ed. (Part-I) Sem. II 14 Paper-IX

 The new education policy focuses on enhancing practical education instead of

laying stress on books for learning.

 NEP allows for the development and learning of children by general interaction,
group discussions, and reasoning.

 The NTA will conduct a common entrance exam for universities at a national level.

 The students will have the freedom to select the course they desire to learn along
with the course subjects, thus promoting skill development.

 The government will be setting up new ways of research and innovations at the
university and college level by setting NRF (National Research Foundation).

It can be said that there was a need for change to the existing education policy which was
earlier implemented in 1986. The resulting change is the approval of the New Education
policy. The policy has many positive features but the same can only be achieved by
strictly making it happen. Mere consideration for the layout will not work efficiently instead
of actions. The implementation of the language i.e. the teaching up to 5th grade to be
continued in the regional languages is the utmost problem. The child will be taught in
regional language and therefore will have less approach towards the English language,
which is required after completing 5th grade. Moreover, kids have been subject to
structural learning, which might increase the burden on their small minds.

1.2.4 MINISTRY OF EDUCATION

The existence of Ministry of Education came from the mother ministry was known as
Ministry of Human Resource Development (MHRD) which was created on September 26,
1985, through the one 174th amendment to the Government of India (Allocation of
Business) Rules, 1961working in the form of departments namely Department of
Education and Literacy and the Department of Higher Education.
B.Ed. (Part-I) Sem. II 15 Paper-IX

The new National Education Policy 2020 was passed on 29 July 2020 by the Union
Council of Ministers. The NEP 2020 replaced the existing National Policy on Education,
1986. Under the NEP 2020, the name of the Ministry of Human Resource and
Development (MHRD) was changed to Ministry of Education (MoE). Numerous new
educational institutes, bodies and concepts were legislated under NEP 2020. Thus,
during the implementation of Education Policy 2020, The Ministry of Education was made
a ministry of the Government of India responsible for the implementation of the new
policy. Similarly, this Ministry of Education comprised of two following departments:

 Department of School Education and Literacy:

The department of school education and literacy is responsible for development of
school education and literacy in the country, the Department of Higher Education
take care of what is one of the largest Higher Education Systems of the world, just
after the United States and China. The Department of School Education and
Literacy has its eyes set on the universal access of education and making better
citizens out of our young brigade. For this, various new schemes and initiatives
are taken up regularly and recently, those schemes and initiatives have also
stated paying dividends in the form of growing enrolment in school.

 Department of Higher Education

The Department of Higher Education, on the other hand is engaged in bringing
world class opportunities of Higher Education and Research to the country so that
Indian Students are not finding lacking when facing an international platform. For
this, the Government has launched joint ventures to help the Indian students
benefit from the world opinion.
In addition to this, an Innovation Cell, known as MoE’s Innovation Cell was
established by Ministry of Human Resource Development at AICTE to
systematically foster the culture of innovation, entrepreneurship and startups in all
major Higher Education Institutions in India. A Chief Innovation Officer is selected
every term to look after the innovation affairs in this cell.
B.Ed. (Part-I) Sem. II 16 Paper-IX

The National Institute of Educational Planning and Administration (NIEPA), New

Delhi is a national level resource institution, specializing in problems of
educational management. The University Grants Commission (UGC), New Delhi,
coordinates and sets standards in the area of higher education. The All India
Council for Technical Education (AICTE), New Delhi, which coordinates and sets
standards in the area of technical education.

1.2.5 OBJECTIVES OF THE MINISTRY OF EDUCATION:

The main objectives of the Ministry of Education are as following:

1. Formulating the National Policy on Education and to ensure that it is implemented

in letter and spirit.
2. Planned development, including expanding access and improving quality of the
educational institutions throughout the country, including in the regions where
people don't have easy access to education.
3. Paying special attention to disadvantaged groups like the poor, females and the
minorities.
4. Provide financial help in the form of scholarship, loan subsidy etc to deserving
students from deprived sections of the society.
5. Encouraging International cooperation in the field of education, including working
closely with the UNESCO and foreign governments as well as Universities, to
enhance the educational opportunities in the country.

1.2.6 ROLE OF MOE IN POLICY FORMATION AND IMPLEMENTATION

The planning unit in the Ministry of education has the following functions:

a) Compilation of national five-year education plan and supporting material;

b) Development of strategy for getting plans accepted and financed;
c) Preparation of the central, annual educational plan and discussions with the
Planning Commission and the Ministry of Finance;
B.Ed. (Part-I) Sem. II 17 Paper-IX

d) Discussion and coordination with states on matters relating to planning,

developments and the financing and implementation of plans; and
e) Submission of progress reports on planning-schemes to the Planning
Commission.

Apart from this, the implementation unit in the Ministry of Education has the following
functions:

1. Taking Full Control of Policies, Decisions and Planning activities: MoE

ensures a strong grip and governance on the educational policies, regulation,
educational systems across the country.
2. Regulation of New School Systems: It is observed that every now and then a
new school system is introduced in India claiming to be the best whereas no
genuine efforts to meet the minimum acceptance criteria of a new schooling
system. To ensure proper planning for curriculum setup, teaching faculties
training, integration with existing school systems and compliance with local laws is
the responsibility of MoE.
3. Resource Development: MoE aims to provide best-in-class techniques, training,
business collaborations, and new trends across the education industry. Every
single school in the country has to be a member of this group. Through these
apps MoE can perform surveys and seek opinions pertaining to existing polices or
new ideas.
4. Effective Utilization of Educational Budget: There could be so many possible
expenses when it comes to allocation of budget. For example, new school
opening, salary payments of staff, investment in science and technology, IT
infrastructure upgrade, training, international memberships, marketing and media
needs and so on. It is extremely important for the MOE to assign Subject Matter
Experts with a strong analytical and visionary approach. Every single penny
incorrectly spent will result in huge loss for the nation.
B.Ed. (Part-I) Sem. II 18 Paper-IX

5. Check on Educational Institutes: MoE should provide macro level guidance to

all educational institutes covering Marketing, HR, market dynamics, and industry
trends.
6. Universal access to Education Assurance: MoE has established a dedicated
committee supported by auditors who can consistently perform audits on whether
compulsory education is being ensured.
7. Scholarships: The Ministry of education collaborates with international
organizations across the globe to arrange scholarships for the bright students.
There should be a dedicated section on the MoE’s website where students are
provided the details about all kinds of scholarships.
8. Teaching Regulations: MoE has established a mechanism for teacher
appointment criteria that results in qualification of certain individuals to start
teaching. The Ministry should maintain a database of all the teachers of the
country and provide them online training about new teaching techniques, perform
surveys, seek feedback and take annual exams of all teachers.
9. Curriculum development: The Ministry of education is involved in creating and
distributing curriculum guidance in line with national interests and international
trends. Schools are required to comply with such requirements and produce
evidence of actions taken. Annual audits are also performed.

1.2.7 THE NATIONAL COUNCIL OF EDUCATIONAL RESEARCH AND TRAINING

(NCERT)

It was set-up on 1st September 1961 as an autonomous organization under the

Societies Registration Act of 1860. It provides advice to the Department of Education,
Ministry of HRD on all matters pertaining to School Education. It is financed by the
Department of Education.

Structure and Administration

The NCERT is managed by the (i) General Body, and (ii) Executive Committee.
B.Ed. (Part-I) Sem. II 19 Paper-IX

i. General Body: The Union Minister of Human Resource Development is the

President of the General Body of the NCERT. The members of the General Body
include the Education ministers of all the States and the Union Territories. Other
members of the General Body include the Chairman of the University Grants
Commission (UGC), the Secretary to the Government of India, Ministry of Human
Resource Development (Department of Education), four Vice-Chancellors of the
Universities (one from each region), the Chairman of the Central Board of
Secondary Education, the Commissioner of the Central Board of Secondary
Education, the Commissioner of the Kendriya Vidyalaya Sangathan, the Director,
Central Health Education Bureau, the Director of Training, Directorate General of
Training and Employment, Ministry of Labour, representative of the Education
Division, Planning Commission, all members of the Executive Committee (not
included above) of the Council, and such other persons, not exceeding six, as the
Government of India may nominate (not less than four of these shall be school
teachers). The Secretary, NCERT acts as the convener of the General Body of
the NCERT.
ii. Executive Committee: The Union Minister of Human Resource Development is
its president (ex-officio) and the Union Minister of State in the Ministry of Human
Resource Development, is the ex-officio Vice-President. The other members of
the Executive Committee are the Secretary to the Government of India, Ministry of
Human Resource Development (Department of Education), the Director, NCERT,
the Chairman of the University Grants Commission, four educationists with known
interest in school education (two of whom shall be school teachers). The Joint
Director, NCERT, three members of the faculty of the NCERT (of whom at least
two shall be at the level of Professors and Head of the Department): one
representative of the Ministry of Human Resource Development, and one
representative of the Ministry of Human Resource Development, and one
representative of the Ministry of Finance (who shall be the Financial Adviser of the
NCERT). The Secretary, NCERT acts as the Convener of the Executive
Committee.
B.Ed. (Part-I) Sem. II 20 Paper-IX

The Executive Committee is assisted in its work by the following Standing Committees:

i. Finance Committee.
ii. Establishment Committee;
iii. Building and Work Committee.
iv. Managing Committee of the Regional Colleges of Education.
v. Programme Advisory Committee.
vi. Educational Research and Innovations Committee.

Constituent Units of the NCERT

The constituents of the NCERT are:

 National Institute of Education (NIE), New Delhi.

 Central Institute of Educational Technology (CIET), New Delhi.
 Regional College of Education (RCE), Ajmer.
 Regional College of Education (RCE), Bhopal
 Regional College of Education (RCE), Bhubaneshwar.
 Regional College of Education (RCE), Mysore.

Field Offices

Seventeen Field Offices have been established at the following place to provide
effective liaison with the State/UT education authorities as well as with the State/UT-level
institutions set up for providing academic and training inputs to the school education and
teacher education systems in the State/Union Territories.

i. Ahmedabad
ii. Allahabad
iii. Bangalore
iv. Bhopal
v. Bhubaneshwar
B.Ed. (Part-I) Sem. II 21 Paper-IX

vi. Calcutta
vii. Chandigarh
viii. Guwahati
ix. Hyderabad
x. Jaipur
xi. Madras
xii. Patna
xiii. Pune
xiv. Shillong
xv. Shimla
xvi. Srinagar/Jammu
xvii. Thiruvananthapuram

1.2.8 ROLE OF NCERT IN EDUCATION POLICY

The NCERT is the nodal agency that deals directly with the formation and implementation
of the National Education Policy. Main role played by this agency is describes a following:

1. Publication of Literature: NCERT is engaged in the publication of text books, work-

books, teachers, guides, supplementary readers, research monographs in the field of
school education and teacher education on a massive scale. The books are published on
no profit no loss basis and made available throughout the country. These books are well
written by experts and also serve source books. The publications broadly fall into the
following major categories:

i. School textbooks, workbooks and prescribed supplementary readers;

ii. Teacher's Guides and other instructional materials;
iii. Research reports and monographs; and
iv. Educational journals.

Besides these books, six journals are published by NCERT:

B.Ed. (Part-I) Sem. II 22 Paper-IX

i. Indian Education Review (Quarterly);

ii. Primary Teacher (Quarterly);
iii. Journal of Indian Education (Bi-monthly);
iv. School Science (Quarterly);
v. Primary Shikshak (Quarterly in Hindi); and
vi. Bhartiya Adhunik Shiksha (Quarterly in Hindi).

2. Promotion of Teaching of Science and Mathematics: NCERT has been

implementing programmes of the promotion of science for which the agreement has been
done between the Ministry of HRD and UNESCO and UNICEF. Recent efforts of NCERT
for enriching the education of Science and Mathematics include the following:

 Development of Supplementary materials in Chemistry for the Secondary Stage.

 Identification and evaluation of the skills for a study of fractional work in Physics.
 Development of CAI Software for Learning Sound (in Physics) at Secondary
Stage.
 Development of non-print materials in Mathematics at the Senior Secondary Level
(through video mode).
 Development of self-learning materials on specific topics in Mathematics at +2
levels.

3. Research and Training: NCERT conducts training programmes for different

categories of teachers. Besides conducting the pre-service and in-service teacher
education programmes, the Regional Colleges of Education (RCEs) remained involved in
research studies related to different aspects of school education and teacher education,
development of instructional materials for use of teacher educators, teachers and teacher
trainees and extension activities for qualitative improvement of school education and
teacher education.

The Educational Research and Innovations Committee (ERIC) continued sponsoring

research projects on different aspects of schools education and teacher education.
B.Ed. (Part-I) Sem. II 23 Paper-IX

During 1922-1993, seven fresh research projects were approved by ERIC for financial
assistance. The report on the "National Seminar of Baba Saheb Ambedkar and
Strategies for Removal of Social Inequality in Indian society, Particularly Education" was
brought out. The reports of the following 6 projects conducted with financial assistance
from ERIC were received.

i. A Critical Appraisal of the Navodaya Vidyalaya Scheme as implemented in Kerala.

ii. The Public Understanding of Science.
iii. A study into the extent of Stagnation and Drop-out in schools of Manipur.
iv. Pattern of Students' participation in University Administration.
v. Analysis of the Difference between Private and Public Schools on their
Effectiveness on School Achievement.
vi. A study of Learning Outcomes in terms of Objectives in Mathematics.

4. Promotion of Educational Technology: In 1973, the Centre for Educational

Technology was set-up as one of the institutions of NCERT. Besides "In-House
Production of ETV Programmes for INSAT Transmission", the Central Institute of
Educational Technology (CIET) assigned 10 programmes to outside producers on turn
key basis. Under the Educational Television (ETV) programme, the telecast of
programmes was regularly monitored. Under the research study on "Comprehension of
Educational Television and Radio Programme of CIET", field testing and analysis of data
on two tests was done. The CIET developed "Integrated Transmission Schedules" and
Programme Capsules and sent them to the Doordarshan Kendra for telecast.

5. National Talent Search Scheme: Under National Talent Search Scheme, the NCERT
awards 750 scholarships including 70 scholarships for SC/ST candidates each year for
identifying brilliant students and giving the financial assistance for getting good education
to further develop their talent.

6. Educational and Vocational Guidance: The NCERT organizes a Diploma Course in

Educational and Vocational Guidance which has been designed to train counselors to
operate guidance services in Secondary Schools and personnel from various
B.Ed. (Part-I) Sem. II 24 Paper-IX

organizations. Thus, NCERT is doing a good job in the field of Education especially
School Education.

1.2.9 NITI AAYOG

The NITI Aayog also called National Institution for Transforming India serves as the apex
is the public policy thinks of Government of India and the nodal agency tasked with
catalyzing economic development of the country and igniting cooperative federal
system through the involvement of State Governments in the policy-making process
using a bottom up approach. NITI AAYOG was established in 2015, by
the NDA government, in order to replace the Planning Commission which followed a top-
down management approach. The NITI Aayog council composition is as following:

1. All the state Chief Ministers

2. The Chief Ministers of Delhi and Pondicherry
3. Lieutenant Governors of all UTs
4. Vice-chairman nominated by the Prime Minister
5. Additional members are selected from leading universities and research
institutions
6. These members include a chief executive officer
7. Four ex-official members
8. Three part-time members.

NITI AAYOG initiatives include 15-year road map and a 7-year vision, strategy, and
action plans regarding AMURAT and ATAL Innovation Mission, Medical Education
Reform, agricultural reforms, Indices Measuring States’ Performance in Health, Education
and Water Management, Sub-Group of Chief Ministers on Rationalization of Centrally
Sponsored Schemes, Sub-Group of Chief Ministers on Swachh Bharat Abhiyan and so
on. Sub-group of chief ministers on skill development, task forces on agriculture and up of
poverty and transforming india lecture series are again under control of NITI AAYOG.
B.Ed. (Part-I) Sem. II 25 Paper-IX

In addition to this, finance Minister Arun Jaitley made the following observation on the
necessity of creating NITI Aayog, The 65-year-old Planning Commission had become a
redundant organization. It was relevant in a command economy structure, but not any
longer. India is a diversified country and its states are in various phases of economic
development along with their own strengths and weaknesses. In this context, a ‘one size
fits all’ approach to economic planning is obsolete. It cannot make India competitive in
today's global economy.

Various objectives associated to NITI AAYOG are enlisted below as mentioned on official
website.

 To evolve a shared vision of national development priorities, sectors and

strategies with the active involvement of States.

 To foster cooperative federalism through structured support initiatives and

mechanisms with the States on a continuous basis, recognizing that strong States
make a strong nation.

 To develop mechanisms to formulate credible plans at the village level and

aggregate these progressively at higher levels of government.

 To ensure, on areas that are specifically referred to it, that the interests of national
security are incorporated in economic strategy and policy.

 To pay special attention to the sections of our society that may be at risk of not
benefiting adequately from economic progress.

 To design strategic and long-term policy and programme frameworks and

initiatives, and monitor their progress and their efficacy. The lessons learned
through monitoring and feedback will be used for making innovative
improvements, including necessary mid-course corrections.
B.Ed. (Part-I) Sem. II 26 Paper-IX

 To provide advice and encourage partnerships between key stakeholders and

national and international like-minded think tanks, as well as educational and
policy research institutions.

 To create a knowledge, innovation and entrepreneurial support system through a

collaborative community of national and international experts, practitioners and
other partners.

 To offer a platform for the resolution of inter sector and inter departmental issues
in order to accelerate the implementation of the development agenda.

 To maintain a state-of-the-art resource centre, be a repository of research on

good governance and best practices in sustainable and equitable development as
well as help their dissemination to stake-holders.

 To actively monitor and evaluate the implementation of programmes and

initiatives, including the identification of the needed resources so as to strengthen
the probability of success and scope of delivery.

 To focus on technology up gradation and capacity building for implementation of

programmes and initiatives.

 To undertake other activities as may be necessary in order to further the

execution of the national development agenda, and the objectives mentioned
above.

1.2.10 ROLE OF NITI AAYOG

The Education Vertical seeks to target a good learning environment through policy and
programmes so that people can develop to their full potential and contribute towards the
socio-economic development of the country. The Education domain of NITI AAYOG
strives to facilitate school readiness, socio-emotional learning, critical and higher-order
thinking, and grade-level competency amongst children. It seeks to empower youth with
B.Ed. (Part-I) Sem. II 27 Paper-IX

employability skills, research temperament and subject matter expertise through high
quality, accessible, equitable, accountable, and affordable education system. Role of NITI
AAYOG in education policy planning and implementation can be discussed as hereunder:

 Quality of Education:

The main role of NITI AAYOG is to ensure the quality at Pre-primary, elementary,
secondary, higher-secondary and higher education. Apart from this, NITI AAYOG
takes care of improvement and innovation in technical education and teacher
education across the nation.

 Formal and non-formal education and adult literacy:

NITI AAYOG works towards the upliftment and launch of new programmes for
formal, non-formal as well as adult education.

 Education for special groups:

Education in areas of special focus such as education of girls, Scheduled Castes

(SCs), Scheduled Tribes (STs), minorities, and children with special needs is
again the concern of NITI AAYOG. In addition to this, new schemes and
programmes are initiated for these.

 Policy Analysis:

Policy analysis before and after drafting the national education policy for risk
analysis and effectiveness of policy are vital roles played by this agency in policy
system of India. A rigorous evaluation of policy feasibility, effectiveness and vitality
is being carried out by a dedicated committee of NITI AAYOG on the basis of
Cabinet Notes, EFCs and SFCs from Line Ministries.

 Benchmarking Educational Achievement of States:

B.Ed. (Part-I) Sem. II 28 Paper-IX

Designing numerous programs and initiatives is followed by the responsibility of

NITI AAYOG to benchmark the performances of states and union territories in
relation to latest education policy. Hence, an index is set up to track progress and
infuse healthy competition among States to improve education is established by
NITI AAYOG.

 Research Studies: The education vertical of NITI AAYOG takes up policy issues
in the field of education to formulate recommendations through extensive
research and consultations. Conclusions of these researches are thoughtfully
used for education improvement at all levels across the nation.

 Programme-Level Intervention: The Education vertical of NITI AAYOG also

takes up programme-level interventions to develop proof of concept to improve
quality of education.

Thus, NITI AAYOG is developing itself as a state-of-the-art resource centre with the
necessary knowledge and skills that will enable it to act with speed, promote research
and innovation, provide strategic policy vision for the government, and deal with
contingent issues. Moreover, it is involved in implementation of strategies to accomplish
sustainable development goals hence, also a think tank for the government of India.

1.2.11 Conclusion:

At the end, it can be concluded that MoE, NCERT and NITI AAYOG plays an important
role in policy formulation and implementation by conducting researches, designing new
programs, implementing strategies, formulating boards and committees countrywide.
Ministry of Education plays a significant and remedial role in balancing the socio-
economic fabric of the country. Since students of India are its most valuable resource, our
billion-strong nation needs the nurture and care in the form of basic education to achieve
a better quality of life.
B.Ed. (Part-I) Sem. II 29 Paper-IX

NITI AAYOG was evolved with a shared vision of national development priorities, sectors
and strategies with the active involvement of the states in the light of national objectives.
The vision of the NITI Aayog will then provide a framework for 'national agenda' for the
Prime Minister and the Chief Ministers to provide impetus to. In addition to this, major
contribution of NCERT and its constituent units are committed to undertake, promote and
coordinate research in areas related to school education; prepare and publish model
textbooks, supplementary material, newsletters, journals and develops educational kits,
multimedia digital materials for enhancing quality of education.

1.2.12 SUGGESTED QUESTIONS

a) What is the role of MoE in formulation of Education Policy?

b) Write a note on NCERT.
c) Discuss the role of NITI AAYOG in Education Policy?

1.2.13 SUGGESTED REFERENCES

 Administration of Personnel in co-operatives- B.B. Goel

 National Education Policy @ https://www.education.gov.in/
 NITI AAYOG @ https://niti.gov.in/
 Principles, Problems and Prospects- Govt. of India, Ministry of Education
 Education Policy and Administration- S.L. Goel, Aruna Goel
 New Education Policy 2016 by Sumriti Zubin Irani (Minister of MHRD)
 Government of India (1985). The Challenge of Education, New Delhi, Ministry of
Human Resource Development.
 Government of India (1986). National Policy on Education 1986. New Delhi,
Ministry of Human Resource Development.
B.Ed. Part-I 30 Paper- IX

B.Ed. PART-I SEM-II PAPER-IX

Lesson no. 1.3 Shubhpreet Kaur

Education Planning and Financing: Concept, Need, Types, Approaches,

Principles of Financing

Structure of lesson
1.3.1 Objectives

1.3.2 Introduction

1.3.3 Education Planning

1.3.4 Education Financing

1.3.5 Need of Planning

1.3.6 Types of Planning

1.3.7 Approaches to Planning

1.3.8 Principles of Financing Education

1.3.9 Conclusion

3.1.10 Suggested Questions

1.3.11 Suggested Readings

1.3.1 Objectives: after reading this lesson students will be able to:

1. Know the education planning and financing.

B.Ed. Part-I 31 Paper- IX

2. Understand the need of planning at different educational levels.

3. Know about types and approaches of educational planning.
4. Understand various principles of education financing.

1.3.2 Introduction

Planning is essential for development of every nation and according to which changes
would have been brought in social, political, economic, cultural and educational sphere.
Planning is the process of preparing a set of decisions for action in the future and directed
towards realizing some goals by the best possible means. Hence, the main focus of
planning is to assess possible operational alternatives and then selecting the best for
executing the action. Dictionary meaning of Planning is to design some action to be done
before. The planning selects among alternatives routes before travel begins and identifies
probable outcomes of an action before the launch. According to Philips “Planning is
regarded as the process of setting out in advance a pattern of action to bring about overall
national policies by the closest possible articulation of means and ends.”

Education financing is a term used to describe the financial and in-kind resources
available for education. The concept of education finance also addresses questions about
how resources are allocated, used, and accounted for to achieve sustainable and quality
education for all children and youth. It considers the public funding as money that national
government set aside for education. Yet, public funding may also be international, from
donors and multilateral institutions. In most cases, public financing for education comes
overwhelmingly from partner country governments. This money is collected
through taxes. In theory, as countries develop, their ability to collect taxes also improves
and there should be more money available to education. Unfortunately, this isn’t always
the case due to competing spending priorities. Private financing can also be domestic and
international. While the private sector is frequently thought of as companies, foundations,
B.Ed. Part-I 32 Paper- IX

and investors but private resources for education come overwhelmingly from individual
households. Money sent from relatives working abroad, or remittances, contribute
significantly. Blended finance refers to the strategic use of capital from public and
philanthropic sources to mobilize private sector investment. Blended finance is critical to
ensuring inclusive and quality education for all and promoting lifelong learning as
outlined in the 2030 Agenda worldwide.

1.3.3 Education Planning

Planning is essential in the field of education entitled as “Educational Planning”.

Webster's International Dictionary defines planning as an act or process of making or
carrying out plans. 'To plan' means to layout a method to achieve some goal. Planning
focuses on 'What, 'Why' and 'How' of achieving goals. Planning is the process of preparing
a set of decisions for actions in future directed towards realizing some specific goals by
the best possible means. Planning is the process of setting out in advance a pattern of
actions to bring about policies, at the local, regional, national or international level.
Planning is the function that determines in advance what should be done.

Educational Planning is the process of designing and making available to the educational
administrator, the possible means of making the optimum use of available resources for
the realization of the educational aims and objectives of an organization. Educational
Planning is defining events, conditions and needs of some future point in time. It is also a
means of generating relevant present or future goals and objectives for the organization.
Educational Planning is considered a kind of contingency anticipation or problem
prevention. It provides a tool for achieving specific objectives of an organization
educational planning emphasizes that only the top administrator or the government should
be involved in planning. Modern educational planning emphasizes involvement of
B.Ed. Part-I 33 Paper- IX

representatives of most of the concerned sectors of the society in the process of planning.
Educational Planning has following important characteristics:

 Planning Contributes to The Objective - Planning helps in achieving the

objective. We cannot think of achieving any objective without any kind of
planning. Planning is one of the foremost important primary steps in
accomplishing the organisation.
 Planning is The Primary Function of Management - Planning is the first
step that any manager or anyone adapts to use it to move towards any goal.
 Pervasive - Planning is universal. Planning is there in every organization,
whether it is a small size, mid-size or large size or at whatever level it is, every
manager, every individual employee plans on at his/her level.
 Planning is Futuristic - We do planning for the future. Hence it is called a
futuristic process. We always stay in the present and plan for the future.
Planning is never done for the past.
 Planning is Continuous - We plan to achieve any goal. We do the planning,
staffing, directing, and then controlling. As soon as one goal is achieved, then
we start planning for the next goal or objective. Hence it is called Continuous
Process. All the time, planning is done at every level for the future course of
action.
 Planning Involves Decision Making - In planning, function managers
evaluate various alternatives and select the most appropriate way to manage
things.
 Planning is a Mental Exercise - In planning, assumptions and predictions
regarding the future are made by scanning the environment properly. This
activity requires a higher level of intelligence.
B.Ed. Part-I 34 Paper- IX

 Planning Provides Direction - Planning provides us direction. How to work

in the future includes planning. By stating in advance, how work has to be
done, planning provides direction for action.
 Planning Reduces the Risk of Uncertainties - Uncertainty means any events
in the future that change our course of action. Planning helps the manager to
face uncertainty. We cannot remove such uncertainty from our life. However,
due to planning, we can work on such uncertainty. Just like an unforeseen
event is going to come in which we are going in loss. So, if we are already
ready, we have made funds for it, and then we will be able to use it to fight that
unforeseen situation.
 Planning Reduces Overlapping and Wasteful Activity - Overlapping means
the working relationship has not been allocated specifically. If we plan, our
time will not be wasted.
 Planning Promotes Innovative Ideas - If you are planning, then you get
feedback from your senior managers or juniors, from there you can get
innovative ideas. Besides, if you make your employees part of the decision
making, then you can get new creative ideas from there too.
 Planning Facilitates Decision - Planning helps in decision making. The more
efficient you plan, the more right you will be in the decision. With good
planning, our decision making gets an accuracy, it gets feasible and it also gets
improved.
 Planning Establishes a Standard for Controlling - Controlling is incomplete
without planning and planning is incomplete without controlling. If you have
done the planning but you do not oversee that the thing is happening or not,
then the planning is useless. In case, there is no planned output then the
B.Ed. Part-I 35 Paper- IX

controlling manager will have no base to compare whether the actual output is
adequate or not.
 Focuses Attention on Objectives - Through planning, efforts of all the
employees are directed towards the achievement of organisational goals and
objectives.

Educational planning is a major requirement in the contemporary education system. The

complexities of the present scientifically developed and technologically advanced society
have demanded special attention to the need for planning in education. In other words
educational planning can be defined as a systematic design of action for realization of
educational aims and objectives for individual and social development through maximum
utilization of available resources. Educational planning is also defined as a process utilized
by an administrator while performing the role of a leader, decision-maker, changing agent
and so on. Hence, educational planning is essential for the best utilization of available
resources. It is a sound method of solving educational problems by avoiding the trial and
error method of doing things.

The NITI Aayog’s precursor, the Planning Commission was established in March 1950 by
a Government of India resolution with Prime Minister as Chairperson. The initial mandate
was to establish heavy industries through public investment as a means for achieving rapid
industrialization. The functions assigned to the Planning Commission were to assess and
allocate plan resources, formulate plans and programs for area development, determine
implementation methodology, identify resource constraints and appraise and adjust
implementation.

The Planning Commission from 1950 to 2014 formulated twelve five year plans. The
first and second plans aimed at raising public resources for investments in public sector,
the third plan focused on increased emphasis on exports and the fourth Plan formulated at
B.Ed. Part-I 36 Paper- IX

a difficult period of balance of payments crisis focused on agricultural development. The

fifth plan provided enhanced allocations for social sector spending. The sixth and
seventh plans were infrastructure plans focusing on raising plan resources for
infrastructure spending. The eighth plan formulated in the midst of economic reforms
achieved 6.7 percent growth. The ninth plan period witnessed a sharp decline in economic
growth to 2.4 percent. The tenth and eleventh plans implemented in the 2004-2014 period
witnessed economic growth trajectory of above 9 percent.

The NITI Aayog, established in 2015, is one of Indian democracy’s youngest institutions.
It has been entrusted with the mandate of re-imagining the development agenda by
dismantling old style central planning. As the Indian economy rapidly integrated with the
global economy contradictions arose between central planning and increasing private
capital flows. The NITI Aayog was mandated to foster cooperative federalism, evolve a
national consensus on developmental goals, redefine the reforms agenda, act as a platform
for resolution of cross-sectoral issues between Center and State Governments, capacity
building and to act as a knowledge and innovation hub. It represented a huge mandate for
a nascent organization. In field of higher education NITI Aayog aims at designing world
class universities, autonomy of higher institutions, reform of regulatory systems, system
for research grants and increased focus on vocational education.

1.3.4 Education Financing

Education finance refers to governmental and organizational processes by which revenues

are generated distributed, and expended for the operational and capital support of formal
schooling. Scholars and professionals knowledgeable regarding economics, public
finance, school finance, budgeting, management, accounting, education law, and
intergovernmental relations typically participate in this field. Education financing should
not be considered exclusively as a technical field dominated by matters of arcane financial
B.Ed. Part-I 37 Paper- IX

formulas and budget categories. Rather, it also involves public policy issues at the
dynamic core of any society regarding equity, efficiency, and freedom of choice. Salient
features of financing process have been discussed below:

1. Investment Opportunities:

A key feature of financing is to look forward for various investment opportunities

in field of education. Finance is required to invest money in various educational
programmes and activities. These are constructing building, arranging learning
resources, hiring teachers, etc. all these activities require planning regarding
finance in terms of expenditure and revenue.

2. Allocation and Utilization of Funds:

An important feature of finance to every process is that, it must guarantee that

satisfactory funds are accessible from the available sources at the appropriate time. It
needs to choose the method, strategies and types of finance to raising the capital,
regardless of whether it is to be through the issue of securities or other sources. When
funds are raised, next step is to allocate those funds to different ventures, projects, etc.
Appropriate use of finance depends on investment strategies, techniques, decisions,
control and management rules and policies for efficient results.

3. Decision Making:

Decision making is one the primary features of finance. If financial planning is really good
by the financial planners and it has been analysed well then it leads to better decision
making Firstly, financial plans should be prepared, secondly, finance management plans
should be build and then at the right time right decision making should occur. Slowing
with the help of knowledge administrators will keep on improving the decision making
which will benefit in getting good returns on investment.
B.Ed. Part-I 38 Paper- IX

4. Financial Management:

The goals of finance management are to guarantee adequate finance and supply of
funds available to the education process at any given time. Finance management
helps by effective use of capital and resources to follow the rules of liquidity,
productivity and limiting risk. It gives a clear picture of internal management,
investment, planning and control decisions regarding education.

Education in India is primarily a state sponsored activity. Therefore, the pattern of

educational development depends, to a great extent, on the availability of governmental
resources for education. As noted earlier, there are three layers of control of education in
India namely the central, the state and the district levels. Among these, districts are not
constitutional or statutory units though they are important administrative units. Therefore,
resource allocation mechanisms are based on centre-state partnership in educational
endeavours. However, in the eighties, with the focus on decentralisation, the district is
treated as the lowest viable unit for planning and devolution of financial resources and
delegation of administrative powers. In this situation, some of the provincial governments
have already initiated steps to constitute Commissions to evolve criteria for devolution of
resources between state governments and district authorities, but this has not yet become a
wide spread phenomena.

Education in India is financed by both central and state governments. The governments at
these levels provide funds for their own institutions and to institutions set up by private
individuals or societies to whom grants are made on the basis of grants-in-aid policies of
the government. The state governments differ in terms of the system of grants and they
also differ by levels of education. Generally, private institutions which come under the
purview of grants-in-aid code are given recurring and non-recurring grants.
B.Ed. Part-I 39 Paper- IX

The financing of education in India grants include a building grant, an equipment grant,
etc. Sometimes ad hoc grants are also given to these institutions for specific purposes such
as the promotion of science and craft teaching, etc. The grants-in-aid policies also help to
keep a check on and ensure certain levels of standards in terms of teacher qualifications,
fees, maintenance of accounts, etc. Moreover, all the institutions receiving grants in-aid
are subjected to governmental inspection and supervision. However, it should be noted
that in practice, the grants-in-aid policies are hardly used to maintain quality in education.

1.3.5 Need of Planning

Educational planning and decision-making regarding finance, like planning in other social
sectors, is a complex, interactive process involving many policy-making, technical, and
administrative bodies at the national and provincial levels.

The general purpose of national educational planning in any country is to assist and
facilitate the development of the educational system. At minimum, this task includes
linking education to the economy, culture, and society; maintaining the integrity of the
system in order that the different levels and kinds of education reinforce one another; and,
developing a system which monitors its own performance and responds accordingly. The
educational planning process typically includes the interaction of sets of activities and
feedback loops, including: an articulated vision of the future education sector; creation of
the setting of objectives; the review of existing educational policies and consideration of
needed new ones explication of programs, projects and targets; and, assessment of needed
human, fiscal and physical resources. Need of planning can be discussed as given below:

1. To select best method: Through proper planning in education, education can be the
best means by which society will preserve and develop its future value system, way of
life of an individual, knowledge, skills and applications, and culture of the country.
B.Ed. Part-I 40 Paper- IX

2. To save money and time: Proper educational planning saves time, effort and
money as planning in every field is a time-saving, an effort-saving and a money
saving activity.

3. Problem solving: Educational planning is a sound way of solving educational

problems by avoiding the trial and error method of doing things.

4. Resource availability: Educational planning is essential for the best utilization of

available resources.

5. Better administration: Educational planning checks wastage and failure and

contributes to the smoothness, ease and efficiency of the administrative process in
the field of education.

6. To involve stake holders: Through proper educational planning, the means and
ends of the society can be properly interacted through educational system. It
implies that the educational system utilizes a large proportion of the country’s
educated talents and a major part of public expenditure.

7. For directions: Educational planning is highly essential for preparing a blueprint

or plan of action for every programme of an educational institution or organisation.

8. To achieve objectives: Planning in education is necessary for making one’s

educational journey goal-oriented and purposeful.

9. To Improving the quality of education. This will include increased number and
quality of qualified teachers, support facilities and infrastructure and Improvement
in the text books, curriculum content etc.

10. To expand the education system: This will include an increase in the output of
qualified manpower along with increase in the opportunities for general education.
B.Ed. Part-I 41 Paper- IX

11. Development of planning and management capacities: Capacities in the field of

education such as school construction, staff training, textbook development,
research projects, development of audio-visual aids etc.

1.3.6 Types of Planning

There are many types of educational planning in terms of physical infrastructure and
money. Five main types have been discussed as below:

 Academic Planning:

This type of educational planning refers to planning for smooth academic transaction
of the syllabus for any course at any level of education. It encompasses planning on
education in relation to needs and demands of the individual and society.

 Co-academic Planning:

This planning of education is necessary for bringing total development of a student

in one point and total development of an educational institution or organisation in
another point. This planning includes planning for student welfare services,
planning for sports and games, planning for social activities and programmes,
planning for cultural activities and programmes, planning for hobbies etc.

 Instructional Planning:

It includes planning for specification or instructional objectives, selection and

organisation of learning activities, selection of appropriate means for presentation
of learning experiences, monitoring of the learning or instructional progress,
selection of suitable evaluation techniques for various learning outcomes etc.

 Institutional Planning:

This type of educational planning gives a practical shape to the meaning of

educational planning. In this context educational planning refers to the needs and
B.Ed. Part-I 42 Paper- IX

requirements of every institution to be achieved through creation and maintenance

of a planning atmosphere in the institution.

 Administrative Planning:

This planning of education makes a detail plan on structure and organisation of

education at different levels such as primary, secondary, higher secondary, higher
or general, technical and professional. This planning prepares planning on duration
of an educational programme, organisation and co-ordination of educational
programmes, financial allocation or budget for the programme, engagement of
educational officials in the programme, and smooth management of the
programme etc.

1.3.7 Approaches to Planning

Educational Planning is the process of setting out in advance, strategies, policies,

procedure, programmers and standards through which on educational objectives can be
achieved. On the basis of time span Educational planning is of three types:

1. Short term Planning

2. Middle term Planning

3. Long term Planning

Apart from this planning is done on three levels namely Individual level, population
level and area based level. Apart from this another three levels planning types can be
described as following:
B.Ed. Part-I 43 Paper- IX

1) Micro level planning: Micro level planning is at local governmental level or

institutional level. These types of planning aim at efficiency of process. This planning
mainly focus on the input and processes of Educational practices. It tries to ensure
appropriate combination of educational resources with processes.

2) Macro Level Planning: This planning is at national or state level. It is aimed at

achieving national success and high productivity in education. It also aimed to ensure
that the quantity and quality of resources produce high output at minimum cost. The
components of macro planning include policy formulation, financing, reform and
administrative strategies. It takes in account national perspective of education.

3) Grass root level planning: Grass root level planning in one which uses the people
in the given region or community for planning in education. The main focus of grass
root level planning is to focus on increasing mass participation in education process.
Education affects community and is being affected by community. This type of
planning brings education and community closes for better output.

Apart from above mentioned approaches, four possible approaches to planning are:

1. Reactive Approach (past oriented)

Reactive planning is an active attempt to turn back the clock to the past. The past,
no matter how bad, is preferable to the present. And definitely better than the
future will be. The past is romanticized and there is a desire to return to the "good
old days." These people seek to undo the change that has created the present, and
they fear the future, which they attempt to prevent.
B.Ed. Part-I 44 Paper- IX

2. Inactive Approach (present oriented)

Inactive planning is an attempt to preserve the present, which is preferable to both

the past and the future. While the present may have problems it is better than the
past. The expectation is that things are as good as they are likely to get and the
future will only be worse. Any additional change is likely to be for the worse and
should therefore be avoided.

3. Pre-active Approach (predict the future)

Pre-active planning is n attempt to predict the future and then to plan for that
predicted future. Technological change is seen as the driving force bringing about
the future, which will be better than the present or the past. The planning process
will seek to position the organization to take advantage of the change that is
happening around them.

4. Proactive Approach (create the future)

Proactive planning involves designing a desired future and then inventing ways to
create that future state. Not only is the future a preferred state, but the organization
can actively control the outcome. Planners actively shape the future, rather than
just trying to get ahead of events outside of their control. The predicted changes of
the pre-active planner are seen not as absolute constraints, but as obstacles that can
be addressed and overcome.
B.Ed. Part-I 45 Paper- IX

1.3.8 Principles of Financing Education

Principles serve as the guidelines to take certain important decisions on educational

finance and are discussed below. These are the essential principles of educational finance
to be followed both at administrative and institutional level.

1. Transparency: This principle refers to the disclosing of information of

expenditure and revenue to the public in a simple and understandable manner. The
government expenditure on education, budget allocation for educational
programmes has to be published in news papers, journals or websites, which
maintains the transparency in educational finance.
2. Accountability: Educational finance is always made for goals and objectives to be
achieved through educational policies and programmes. Accountability refers here
to the responsibility of the institution in proper handling financial resources
received from the government.
3. Autonomy: This principle refers to the decentralization of authority
to the local management of the institution. Local peoples engaged with the
management of the institution are more acquainted with the needs and priorities of
the institution. So, government has to decentralize the autonomy of budgeting,
spending, auditing and evaluating of institutional fund.
4. Sustainability: Sustainability refers here the continuity and timely receives of
educational fund by the institutions. Sustainability of fund ensures the
proper and effective implementation of educational programmes.
5. Implementation: The educational fund receives by the institutions has to be
implemented on time. The delay of educational projects hampers the qualitative
and quantitative expansion of education.
B.Ed. Part-I 46 Paper- IX

6. Equity over equality: Principle of equity over equality is the foundation of

educational system. Equity refers to the need-base funding of educational
programmes. The government has to ensure equity in funding to bring equal
educational opportunities. If equity is maintained, the quality of education can be
ensured. Equity of educational finance mainly focuses on equity for learners and
equity among teachers.
7. Stakeholder involvement: Involvement refers to the participation of all category
stakeholders in the decision making process of educational finance.

1.3.9 Conclusion:

In conclusion, it can be said that planning may be described as the process of preparing a
set of decisions directed at achieving by optimum means the predetermined goals.
Planning includes predetermined objectives, optimum use of resources and decision
making. Educational planning is making optimum use of resources for the realization of
educational aims and objectives. It is needed at all levels. It is needed to ensure success of
the enterprise. It saves time, effort and money. It is needed to keep pace with the time. In
this world of competition, it is needed for survival. It helps decision makers and policy
makers. It is very significant for efficient development. It reduces complexities of social
structure. While planning for education the most important thing to be decided is priorities
to be given to the different aspects of education.

Top priority should be given to the primary education and universal elementary education.
Then quality of education should be emphasized. Adult education should also be given
due importance. Secondary education should be vocation oriented. Health of new
generator should also be paid attention. Human resources should be fully developed.
While planning for education, the most important thing to be decided is priorities to be
given to the different aspects of education. Priorities give preference or precedence or
B.Ed. Part-I 47 Paper- IX

order of importance of various aspects of education. There are conflicting claims of

various sectors of life and priorities tell which of these will receive first emphasis in the
development and allocation of finances. In deciding priorities for education, two major
questions arise, which are what percent of national income should be allocated to
education. Decision of this percentage is generally a political one based on
recommendations of economic and educational planners. Secondly, how should amount
allotted to education be divided among the various branches and types of education that
claim precedence and come-up for decision? Priorities differ from country to country. But
it is generally accepted that poorer countries should concentrate their resources on
expanding primary education.
1.3.10 Suggested Questions

a) Define educational planning. Discuss its need and importance.

b) What is education financing? Give principles of financing in detail.
c) Explain various approaches of planning in education.
d) Differentiate between Academic Planning and Co-academic Planning.

1.3.11 Suggested Readings

 Educational Administration : Dr. R.P. Bhatnagar & Dr. Vidya Agrawal

 Educational Management : Y.P. Aggarwal
 Planing and Administration M.S. Sachdeva & Manjeet Kaur
 Educational Planning in India : J.P. Nayak
 Education Development Strategy : Sansul Huck
B.Ed. Part-I 48 Paper- IX

B.Ed. PART-I SEM-II PAPER-IX

Lesson no. 1.4 Dr. Shubhpreet Kaur

EDUCATIONAL FINANCING: PRINCIPLES OF FINANCING EDUCATION,

FINANCIAL PARTICIPATION OF CENTRE AND STATE GOVERNMENT:
SAMAGARA SHIKSHA, MID-DAY MEAL SCHEME AND POST-MATRIC
SCHOLARSHIP

Structure

1.4.1 Objectives

1.4.2 Introduction

1.4.3 Role of Centre and State Governments

1.4.4 Samagra Shiksha

1.4.5 Mid-Day Meal Scheme

1.4.6 Post-Matric Scholarship Scheme

1.4.7 Conclusion

1.4.8 Suggested Questions

1.4.9 Suggested Readings

1.4.1 Objectives: after reading this lesson students will be able to:
1. Know the education financing.
48
B.Ed. Part-I 49 Paper- IX

2. Understand the financial participation of Centre and State Government

3. Know about Samagara Shiksha in India.
4. Understand about Mid-Day Meal Scheme.
5. To understand the financing of Post-Matric Scholarship.

1.4.2 Introduction

Education financing is a term used to describe the financial and in-kind resources
available for education. The concept of education finance also addresses questions about
how resources are allocated, used, and accounted for to achieve sustainable and quality
education for all children and youth. It considers the public funding as money that national
government set aside for education. Yet, public funding may also be international, from
donors and multilateral institutions. In most cases, public financing for education comes
overwhelmingly from partner country governments. This money is collected
through taxes. In theory, as countries develop, their ability to collect taxes also improves
and there should be more money available to education. Unfortunately, this isn’t always
the case due to competing spending priorities. Private financing can also be domestic and
international. While the private sector is frequently thought of as companies, foundations,
and investors but private resources for education come overwhelmingly from individual
households. Money sent from relatives working abroad, or remittances, contribute
significantly. Blended finance refers to the strategic use of capital from public and
philanthropic sources to mobilize private sector investment. Blended finance is critical to
ensuring inclusive and quality education for all and promoting lifelong learning as
outlined in the 2030 Agenda worldwide.

Education finance refers to governmental and organizational processes by which revenues

are generated distributed, and expended for the operational and capital support of formal
schooling. Scholars and professionals knowledgeable regarding economics, public
B.Ed. Part-I 50 Paper- IX

finance, school finance, budgeting, management, accounting, education law, and

intergovernmental relations typically participate in this field. Education financing should
not be considered exclusively as a technical field dominated by matters of arcane financial
formulas and budget categories. Rather, it also involves public policy issues at the
dynamic core of any society regarding equity, efficiency, and freedom of choice. Salient
features of financing process have been discussed below:

1. Investment Opportunities:

A key feature of financing is to look forward for various investment opportunities

in field of education. Finance is required to invest money in various educational
programmes and activities. These are constructing building, arranging learning
resources, hiring teachers, etc. all these activities require planning regarding
finance in terms of expenditure and revenue.

2. Allocation and Utilization of Funds:

An important feature of finance to every process is that, it must guarantee that

satisfactory funds are accessible from the available sources at the appropriate time.
It needs to choose the method, strategies and types of finance to raising the capital,
regardless of whether it is to be through the issue of securities or other sources.
When funds are raised, next step is to allocate those funds to different ventures,
projects, etc. Appropriate use of finance depends on investment strategies,
techniques, decisions, control and management rules and policies for efficient
results.
B.Ed. Part-I 51 Paper- IX

3. Decision Making:

Decision making is one the primary features of finance. If financial planning is

really good by the financial planners and it has been analysed well then it leads to
better decision making Firstly, financial plans should be prepared, secondly,
finance management plans should be build and then at the right time right decision
making should occur. Slowing with the help of knowledge administrators will keep
on improving the decision making which will benefit in getting good returns on
investment.

4. Financial Management:

The goals of finance management are to guarantee adequate finance and supply of
funds available to the education process at any given time. Finance management
helps by effective use of capital and resources to follow the rules of liquidity,
productivity and limiting risk. It gives a clear picture of internal management,
investment, planning and control decisions regarding education.

Education in India is primarily a state sponsored activity. Therefore, the pattern of

educational development depends, to a great extent, on the availability of governmental
resources for education. As noted earlier, there are three layers of control of education in
India namely the central, the state and the district levels. Among these, districts are not
constitutional or statutory units though they are important administrative units. Therefore,
resource allocation mechanisms are based on centre-state partnership in educational
endeavours. However, in the eighties, with the focus on decentralisation, the district is
treated as the lowest viable unit for planning and devolution of financial resources and
delegation of administrative powers. In this situation, some of the provincial governments
have already initiated steps to constitute commissions to evolve criteria for devolution of
B.Ed. Part-I 52 Paper- IX

resources between state governments and district authorities, but this has not yet become a
wide spread phenomena.

Education in India is financed by both central and state governments. The governments at
these levels provide funds for their own institutions and to institutions set up by private
individuals or societies to whom grants are made on the basis of grants-in-aid policies of
the government. The state governments differ in terms of the system of grants and they
also differ by levels of education. Generally, private institutions which come under the
purview of grants-in-aid code are given recurring and non-recurring grants.

The financing of education in India grants include a building grant, an equipment grant,
etc. Sometimes ad hoc grants are also given to these institutions for specific purposes such
as the promotion of science and craft teaching, etc. The grants-in-aid policies also help to
keep a check on and ensure certain levels of standards in terms of teacher qualifications,
fees, maintenance of accounts, etc. Moreover, all the institutions receiving grants in-aid
are subjected to governmental inspection and supervision. However, it should be noted
that in practice, the grants-in-aid policies are hardly used to maintain quality in education.

1.4.4 Role of Centre and State Governments

The states only partially accept the financial responsibilities of Education sector. The
opening of non-formal education centres, enrolment of handicapped students in the
integrated schools, etc., is some of such activities. The financial contribution of the centre
to such activities might vary from 25 percent to 100 percent of the total cost of these
activities. The central grants of all these three kinds often lead to the decision making at
the state level being replaced by central decision and to that extent such grants erode state
autonomy. Centre, state and non governmental bodies contribute effectively towards
education planning at different levels as given below:
B.Ed. Part-I 53 Paper- IX

Role of Centre Government in Financing Education

The Central Government intervenes in education in three main ways: the Central
government has its own central sector in education, which includes, besides the sectors
listed in the Union List (List 1), the Central schools, the Regional Colleges of education,
National scholarships, the programmes of the University Grants Commission (UGC) such
as the creation of Centres for Advanced Study, etc. Administrative as well as financial
functions of this sector are the total responsibility of the Central government. These
activities are planned, implemented and financed exclusively by the Centre. Secondly,
there is a sector known as centrally sponsored sector the responsibility of which the states
do not accept on their own.

The central government could however persuade the state governments to accept the
responsibility of their implementation. They constitute part of the central plan in respect of
which the states act as executive agencies. They are designed and developed by the centre.
The activities in this sector include promotion of Sanskrit, Hindi in non-Hindi speaking
states, promotion of student’s tours, etc. The central government takes care of the financial
part of these activities. Then there is the centrally assisted sector which includes activities
in the promotion of which the centre is actively interested though they are embodied in the
state plans. Apart from this,

1. The contributions of the Central Government and State Governments have

increased from time to time. The Central Government assists the states for
educational development in different ways.

2. Central Government performs educational functions through NCERT, UGC,

Central Universities, Central School organizations suxh as KVS, NVS, Army
schools etc.
B.Ed. Part-I 54 Paper- IX

3. Central Government sponsors schemes fully financed by it but implemented by the

States.

4. Central Government partially finances some programmes, planned and

implemented by the State Governments.

5. The Central Government assists the state in realizing the constitutional provisions
for providing compulsory primary education in the age group 6 to 14 years.

6. The Central Government has large resources for collecting finances. Central funds
are to be utilized for providing equality of opportunity.

Role of State Government financing Education

Education in India is a state responsibility and the bulk of educational expenditure as

discussed below:

1. The Finance Commission transfers adequate resources at the end of each plan to
each State under many schemes. It is the responsibility of state to disburse and
utilize these finances in good means:

(a) Share in Income-tax

The term income tax refers to a type of tax that governments impose on
income generated by businesses and individuals within their jurisdiction. By
law, taxpayers must file an income tax return annually to determine their tax
obligations. Income taxes are a source of revenue for governments. They are
used to fund public services like education, pay government obligations, and
provide goods for citizens.
B.Ed. Part-I 55 Paper- IX

(b) Share in excise

An excise is any duty on manufactured goods that is levied at the moment of

manufacture rather than at sale. Excises are often associated with customs
duties levied on goods that came into existence. Inland. An excise is
considered an indirect tax, meaning that the producer or seller who pays the
levy to the government is expected to try to recover their loss by raising the
price paid by the eventual buyer of the goods. Excises are typically imposed in
addition to an indirect tax

(c) Grant-in-aid

A grant-in-aid is money coming from a central government for a specific

project. Such funding is usually used when the government and the legislature
decide that the recipient should be publicly funded but operate with reasonable
independence from the state. In India both school and colleges work under
grant in aid system.

2. The state recognizes schools and other institutions run by private bodies in
accordance with set rules and regulations. It also provides them with suitable aids
and grants to run efficiently and effectively. Financial aid is also given to
Universities, functioning in the state.

3. State grants to local bodies on account of primary education should be based on a

combination of the proportional grants, a special grant for backward areas and
specific purpose grants. It would be in the interest of education to make it
obligatory on municipalities to earmark a specified proportion of their net revenue
B.Ed. Part-I 56 Paper- IX

for primary education. All funds thus earmarked for Primary Education should be
entitled to receive grant-in-aid according to rules.

Local Bodies like Municipalities, Boards, District bodies, Zilla Parisads and Panchayats
run schools in their respective area. They appoint staff, provide equipment and finance to
these schools through local taxes and grants from the State government. Such educational
institutions are directly under the control of these Local Bodies. A certain proportion of
the income of the local village panchayat and a grant-in-aid fixed on the basis of
equalisation

1.4.5 Samagra Shiksha

The Union government has proposed to treat school education holistically without centre
from pre-nursery to Class 12. For this, the Samagra Shiksha - an overarching programme
for the school education sector extending from pre-school to class 12 has been, therefore,
prepared with the broader goal of improving school effectiveness measured in terms of
equal opportunities for schooling and equitable learning outcomes. It subsumes the three
erstwhile Schemes of Sarva Shiksha Abhiyan (SSA), Rashtriya Madhyamik Shiksha
Abhiyan (RMSA) and Teacher Education (TE).

This sector-wide development programme/scheme would also help harmonise the

implementation mechanisms and transaction costs at all levels, particularly in using state,
district and sub-district level systems and resources, besides envisaging one
comprehensive strategic plan for development of school education at the district level. The
shift in the focus is from project objectives to improving systems level performance and
schooling outcomes which will be the emphasis of the combined Scheme along-with
incentivizing States towards improving quality of education.
B.Ed. Part-I 57 Paper- IX

(A) The Major Objectives of Samagra Shiksha

The major objectives of this programme are as following:

1. provision of quality education and enhancing learning outcomes of students;

2. Bridging Social and Gender Gaps in School Education;
3. Ensuring equity and inclusion at all levels of school education;
4. Ensuring minimum standards in schooling provisions;
5. Promoting vocationalisation of education;
6. Support States in implementation of Right of Children to Free and Compulsory
Education (RTE) Act, 2009;
7. Strengthening and up-gradation of SCERTs/State Institutes of Education and DIET
as nodal agencies for teacher training.

In addition to this, the main outcomes of the Scheme are envisaged as Universal Access,
Equity and Quality, promoting Vocationalisation of Education and strengthening of
Teacher Education Institutions (TEIs).

The Scheme will be implemented as a Centrally Sponsored Scheme by the Department

through a single State Implementation Society (SIS) at the State/UT level. At the National
level, there would be a Governing Council headed by Minister of Human Resource
Development and a Project Approval Board (PAB) headed by Secretary, Department of
School Education and Literacy. The Governing Council will be empowered to modify
financial and programmatic norms and approve the detailed guidelines for implementation
within the overall Framework of the scheme. Such modifications will include innovations
and interventions to improve the quality of school education. The Department will be
assisted by a Technical Support Group (TSG) at Educational Consultants of India Limited
(EdCIL) to provide technical support in functional areas pertaining to access, equity and
B.Ed. Part-I 58 Paper- IX

quality education by merging the TSGs of the Schemes of SSA, RMSA and TE. States
would be expected to bring a single Plan for the entire school education sector.

The major interventions, across all levels of school education, proposed under the scheme
are: (i) Universal Access including Infrastructure Development and Retention; (ii) Gender
and Equity; (iii) Inclusive Education; (iv) Quality; (v) Financial support for Teacher
Salary; (vi) Digital Initiatives; (vii) RTE Entitlements including uniforms, textbooks
etc.;(viii) Pre-school Education; (ix) Vocational Education; (x) Sports and Physical
Education; (xi) Strengthening of Teacher Education and Training; (xii) Monitoring; (xiii)
Programme Management; and (xiii) National Component. It is proposed that preference in
the interventions would be given to Educationally Backward Blocks (EBBs), LWEs
affected districts, Special Focus Districts (SFDs), Border areas and the 117 Aspirational
districts.

The main emphasis of the Scheme is on improving quality of school education by

focussing on the two T’s – Teacher and Technology. The strategy for all interventions
under the Scheme would be to enhance the Learning Outcomes at all levels of schooling.
The scheme proposes to give flexibility to the States and UTs to plan and prioritize their
interventions within the scheme norms and the overall resource envelope available to
them. Funds are proposed to be allocated based on an objective criteria based on
enrolment of students, committed liabilities, learning outcomes and various performance
indicators.

The Scheme will help improve the transition rates across the various levels of school
education and aid in promoting universal access to children to complete school education.
The integration of Teacher Education would facilitate effective convergence and linkages
between different support structures in school education through interventions such as a
unified training calendar, innovations in pedagogy, mentoring and monitoring, etc. This
B.Ed. Part-I 59 Paper- IX

single scheme will enable the SCERT to become the nodal agency for conduct and
monitoring of all in-service training programmes to make it need-focused and dynamic. It
would also enable reaping the benefits of technology and widening the access of good
quality education across all States and UTs and across all sections of the Society.

(B) Funding of Samagra Shiksha

Samagra Shiksha is implemented as a centrally sponsored scheme where the central

government invests in the funds while the state governments also support the funds within
the state. The fund sharing pattern for the scheme between Centre and States is at present
in the ratio of 90:10 for the 8 North-Eastern States viz. Arunachal Pradesh, Assam,
Manipur, Meghalaya, Mizoram, Nagaland, Sikkim and Tripura and 3 Himalayan States
viz. Jammu & Kashmir, Himachal Pradesh and Uttarakhand and 60:40 for all other States
and Union Territories with Legislature. It is 100% centrally sponsored for Union
Territories without Legislature. This is in accordance with the recommendations of the
Sub-Group of Chief Ministers on Rationalization of Centrally Sponsored Schemes
received in October, 2015.

Moving further, on budget 2023-24, Budget Allocation for FY 2023-24 in the Flagship
Scheme of Samagra Shiksha has increased by Rs. 70.11 cr (0.18%) from Rs. 37383.36 cr
in BE 2022-23 to Rs. 37453.47 cr in BE 2023-24.

Apart from this, the Aam Aadmi Party (AAP) government in Punjab gears up to give a
push to education, the Union ministry of education has proposed an allocation
of ₹1,181.30 crore for the state in the financial year 2023-24 under the centrally sponsored
Samagra Shiksha programme for school education.

1.4.6 Mid-Day Meal Scheme

B.Ed. Part-I 60 Paper- IX

Mid Day Meal in schools has had a long history in India. In 1925, a Mid Day Meal
Programme was introduced for disadvantaged children in Madras Municipal Corporation.
By the mid 1980s three States viz. Gujarat, Kerala and Tamil Nadu and the UT of
Pondicherry had universalized a cooked Mid Day Meal Programme with their own
resources for children studying at the primary stage by 1990-91 the number of States
implementing the mid day meal programme with their own resources on a universal or a
large scale had increased to twelve states.

With a view to enhancing enrollment, retention and attendance and simultaneously

improving nutritional levels among children, the National Programme of Nutritional
Support to Primary Education (NP-NSPE) was launched as a Centrally Sponsored Scheme
on 15th August 1995, initially in 2408 blocks in the country. By the year 1997-98 the NP-
NSPE was introduced in all blocks of the country. It was further extended in 2002 to cover
not only children in classes I -V of Government, Government aided and local body
schools, but also children studying in EGS and AIE centres. Central Assistance under the
scheme consisted of free supply of food grains at 100 grams per child per school day, and
subsidy for transportation of food grains up to a maximum of Rs 50 per quintal.

Further, Mid-day meal (MDM) is a wholesome freshly-cooked lunch served to children in

government and government-aided schools in India. On 28 November 2001, the Supreme
Court of India passed a mandate directing the State Governments and Union Territories to
implement the Mid Day Meal Scheme by providing every child in every Government and
Government assisted Primary School with a prepared midday meal.

Mid-day meal scheme aims to:

 Avoid classroom hunger

B.Ed. Part-I 61 Paper- IX

 Increase school enrolment

 Increase school attendance

 Improve socialisation among castes

 Address malnutrition

 Empower women through employment

This pioneering move by the Government of Karnataka to make NGOs the implementing
arm of the Government has been one of the major reasons for its success in reaching the
programme's goals. The achievements of these private-public partnerships have even
influenced the Central Government. By setting up and encouraging private-public
partnerships, the Government is successfully leveraging the skills and resources of the
private sector for the greater good. India's Midday Meal Scheme is one of the largest
school lunch programmes in the world benefiting 9.78-crore children in 11.40-lakh
schools.

PM-Poshan (renamed mid-day meal scheme) received an outlay of INR 11,600 crore in
2023-24 from INR 10,233 crores in 2022-23; it was increased by 13 percent but it
decreased as to the revised estimates.

Following this, The CCEA cleared the PM POSHAN (poshan shakti nirman) Scheme for
providing one hot cooked meal in Government and Government-aided schools from 2021-
22 to 2025-26, earlier known as ‘National Programme for Mid-Day Meal in Schools.

Highlights of the decision that would improve the efficiency of the decision that would
improve the efficiency and effectiveness of the scheme are as below:
B.Ed. Part-I 62 Paper- IX

1. The scheme is proposed to be extended to students studying in pre-primary or

Balvatikas in Government and Government-aided primary schools in addition to
all the 11.80 crore children from elementary classes.
2. The concept of Tithi Bhojan will be encouraged extensively. Tithi Bhojan is a
community participation programme in which people provide special food to
children on special occasions/festivals. hool Nutrition Gardens in schools to give
children first-hand experience with nature and gardening. The harvest of these
gardens is used in the scheme providing additional micro nutrients. School
Nutrition Gardens have already been developed in more than 3 lakh schools.
3. Social Audit of the scheme is made mandatory in all the districts. Special provision
is made for providing supplementary nutrition items to children in aspiration
districts and districts with high prevalence of Anemia.
4. Cooking competitions will be encouraged at all levels right from village level to
national level to promote ethnic cuisine and innovative menus based on locally
available ingredients and vegetables.
5. Vocal for Local for Atmanirbhar Bharat: Involvement of Farmers Producer
Organizations (FPO) and Women Self Help Groups in implementation of the
scheme will be encouraged. Use of locally grown traditional food items for a fillip
to local economic growth will be encouraged.
6. Field visits for progress monitoring and inspections will be facilitated for students
of eminent Universities / Institutions and also trainee teachers of Regional
Institutes of Educations (RIE) and District Institutes of Education and Training
(DIET).

Funding of Mid-Day Meal Scheme

B.Ed. Part-I 63 Paper- IX

Mid-Day Meal Scheme is a Centrally-Sponsored Scheme which covers all school children
studying in Classes I-VIII in Government, Government-Aided Schools. The scheme
covers about 11.80 crore children studying in 11.20 lakh schools across the country.
During 2020-21, Government of India invested more than ₹ 24,400 crore in the scheme,
including cost of about ₹ 11,500 crore on food grains.

The Cabinet Committee on Economic Affairs (CCEA), chaired by the Hon’ble Prime
Minister has approved the continuation of the national scheme of PM POSHAN in
Schools for the five-year period 2021-22 to 2025-26 with the financial outlay of ₹
54061.73 crores from the Central Government and ₹ 31733.17 crore from State
Governments & UT administrations. Central Government will also bear additional cost of
about ₹ 45000 crore on food grains. Therefore, the total scheme budget will amount to ₹
130794.90 crore.

In November 2022, the union government had released just 52% of the total funds
earmarked for PM POSHAN in FY 2022-23, an analysis by the Delhi-based think-tank,
Centre for Policy Research’s Accountability Initiative shows.

The government had released just Rs 5,363.28 crore of the Rs 10,314 crore allocated to
the Pradhan Mantri Poshan Shakti Nirman Scheme (PM POSHAN). The crucial mid-day
meal scheme was subsumed within PM POSHAN in 2021.

The scheme’s reliance on the education cess has also increased sharply. The
Accountability Initiative analysis shows that as much as 98% of the funding for the mid-
day meal programme under PM POSHAN came from the education cess in 2022-23.

PM POSHAN is the education ministry’s second largest scheme, after Samagra Shiksha
Abhiyan, accounting for 10% of the total Rs 1, 04,277 allocations to the ministry of
B.Ed. Part-I 64 Paper- IX

education (MoE) in 2022-23. Both are implemented by the MoE's department of school
education and literacy.

1.4.7 Post-Matric Scholarship Scheme

The Prime Minister’s New 15 Point Programme for the Welfare of Minorities was
announced in June, 2006. It provides that a post-matric scholarship scheme for meritorious
students from minority communities would be implemented. The objective of the scheme
is to award scholarships to meritorious students belonging to economically weaker
sections of minority community so as to provide them better opportunities for higher
education increase their rate of attainment in higher education and enhance their
employability.

The scholarship is to be awarded for studies in India in a government or private higher

secondary school/college/university, including such residential institutes of the
Government and eligible private institutes selected and notified in a transparent manner by
the State Government/Union Territory Administration concerned. It will also cover
technical and vocational courses in Industrial Training Institutes/ Industrial Training
Centres affiliated with the National Council for Vocational Training (NCVT) of classes XI
and XII level including Polytechnics and other courses.

The scholarships shall be provided for the entire course of the academic year. Maintenance
allowance will be given as fixed lump sum amount in an academic year (as per para-9
below) for 2017-18 to 2019-20. The scheme is implemented through the National
Scholarship Portal (NSP).
B.Ed. Part-I 65 Paper- IX

Scholarship will be awarded to the students who have secured not less than 50% marks or
equivalent grade in the previous final examination and the annual income of whose
parents/guardians from all sources does not exceed Rs.2.00 lakh.

Furthermore, 30% scholarship is earmarked for girls students of each minority community
in a State/UT which is transferable to male students of that community in case of non-
availability of female students in that community in the concerned State/UT. 30% is the
floor and not the ceiling for eligible girl students.

If the physical target of scholarship for a particular minority community in a state/UT is

not utilized, it will be distributed among the same minority Page 2 of 5 community in
other States/UTs strictly in accordance with merit and without disturbing the national
ratio. Any unutilized community quota shall be distributed amongst other communities
again in accordance with merit and without affecting the overall national quota. A student
residing in a particular State/UT will be entitled for scholarship under the quota of that
State/UT only irrespective of his/her place of study.

Funding Of Post-Matric Scheme

The scheme is Central Sector Scheme and 100% funding is provided by the Ministry of
Minority Affairs.

This year the government has slashed the budgetary allocation of the Ministry of Minority
Affairs for the 2023-24 fiscal by 38 per cent from the previous year. The Budget estimate
has come down from Rs.5, 020.50 crore in 2022-23 to Rs.3, 097 crore. It must be
mentioned that the revised allocation in 2022-23 was Rs.2, 612.66 crore, indicating an
under-utilisation of nearly 48 per cent.
B.Ed. Part-I 66 Paper- IX

The total allocation for educational empowerment for minorities, which was Rs.2, 515
crore in 2022-23, has been reduced to Rs.1, 689 crore.

Pre-matric scholarships took the biggest hit this year, falling from Rs.1, 425 crore to
Rs.433 crore. However, funds for post-metric scholarships got a boost, from Rs.515 crore
to Rs.1, 065 crore. Meanwhile, a new scheme called Prime Minister-Virasat ka
samvardhan (PM Vikaas) has been added to the Ministry’s budget with an allocation of
Rs.540 crore.

1.4.8 Conclusion

It can be concluded that financing of education is a very pensive affair. Direct and indirect
funding of Samagra Shiksha, Mid-day meal scheme and post-matric scholarship are key
initiatives of government in concern of students and their needs. Moreover, top priority
should be given to the primary education and universal elementary education. Then
quality of education should be emphasized. Adult education should also be given due
importance. Secondary education should be vocation oriented. Health of new generator
should also be paid attention. Human resources should be fully developed. While planning
for education, the most important thing to be decided is priorities to be given to the
different aspects of education. Priorities give preference or precedence or order of
importance of various aspects of education. There are conflicting claims of various sectors
of life and priorities tell which of these will receive first emphasis in the development and
allocation of finances.

In deciding priorities for education, two major questions arise, which are what percent of
national income should be allocated to education. Decision of this percentage is generally
a political one based on recommendations of economic and educational planners.
Secondly, how should amount allotted to education be divided among the various
B.Ed. Part-I 67 Paper- IX

branches and types of education that claim precedence and come-up for decision?
Priorities differ from country to country. But it is generally accepted that poorer countries
should concentrate their resources on expanding primary education.

1.4.9 Suggested Questions

1. Explain Principles of Financing Education in deatail.

2. Write a short note on funding of Samagra Shiksha program?

3. Explain the Mid-Day Meal Scheme in your words along with funding
patterns.

4. What is Post-Matric Scholarship Scheme?

1.4.10 Suggested Readings

1. Verghese N.V. (1991) The Financing of Education in India.

2. Ackoff, R. (1981) Creating the Corporate Future: Plan or be Planned.