Introduction

According to statistics, India’s spending on Education for 2020 was 16.54% which was a 0.19% decline from 2019.

The Indian education system has some issues in it. One of the major issues is the poor quality of education in government institutions such as schools and colleges, where there is a majority of underprivileged children who go to take education. Instead of allocating Rs. 94,800 crores for the education sector in the budget of 2019-20 and Rs. 99,300 crores in the 2020-21 budget, there is no prevention of the high dropout rate in the school’s intermediate classes. Therefore, scholarships and other educational aids become important factors which can tackle the rising cost of education as well as the dropout rate in higher educational institutions.

Comprehending the Cost of Education

The exponentially rising cost of education in India has made it extremely difficult for financially weaker sections of society to let their children pursue studies. The condition of the Indian education system can be considered dismal with more people in recent years not even making it to school according to a report by NSO. About 70% of rural Indians are not able to complete their 10th class education and this figure stood at 40% for urban India. 

In the case of higher education, only 1 in every 10 Indians have a graduate degree and above. Pursuing a course in general degree means an average expense of Rs. 5240 per student in rural areas and three times the rural average spending which is Rs. 16,308 in urban areas. For those who choose to pursue medical degrees, the cost soars to over 72,000 annually.  In the case of enrolment in engineering courses, an average amount of Rs. 63,280 annually plus other charges and accommodation whereas the average per capita income in India is about Rs. 10,500 per month.

Types of Financial Aid

Scholarships

Scholarships are often offered as fiscal support to eligible and deserving candidates so that they can take the next step towards higher education. There are multiple schemes launched by the Indian government from time to time that provide scholarships to students. In most of cases, rewards are often offered on merit obtained by different candidates in different examinations. However, some scholarships are also offered based on specified conditions such as family background, family status, student’s ethnicity and so on. 

Financial Grants

Another form of financial aid are known as financial grants which covers a wide array of expenditure related to education. It includes books, boarding expenses, tuition fees along other supplies. Receiving grants is a rewarding and meaningful experience.

Education loans

An education loan can be responsible for improving the prospects of the life of a student by fuelling his or her higher education. Quality advanced education helps in the creation of a candidate’s employability and that increases their chances of getting higher earnings. Several banks, in accordance with the guidelines of RBI, provide educational loan facilities to Indian students to pursue higher education. This arrangement essentially aims to reduce the extra financial burden on the students while making the Indian education system more liberal in nature.

Fellowships or Stipend

Students pursuing research in India receive the amount that solely depends on the clearance of exams. The Prime Minister Research Fellowship (PMRF) is one of the most prestigious fellowships that students can obtain in India. CSIR/UGC/ICAR/GATE are some of the fellowships that can be acquired by Indian students.

Central and State Aid

If someone wishes to study engineering in one of the premier institutes of the country, they need to be prepared to shell out Rs 10 lakh and a medical seat in a private institute would cost up to Rs 25 lakh. Therefore, it can be said that higher education is an expensive affair in India. Thankfully, the state and the central government run many schemes that offer scholarships and grants to make education more accessible to Indian students.

1. National Scholarships: This scholarship provides financial assistance to meritorious students from families with an annual income of less than 6 Lakhs to meet a part of their daily expenses while pursuing higher studies. Each year 82,000 scholarships are being awarded to pursue graduate or postgraduate studies in universities and colleges.
2. All India Council for Technical Education Scholarships: Under the AICTE, for students, there are various scholarship options available. Pragati, a scheme under MHRD is being implemented by AICTE which aims to provide assistance to girls pursuing technical education. There are a total of 4000 scholarships given out under this scheme out of which 2000 is for Degree courses and the other 2000 is for diploma.
3. Sports Scholarships by Sports Authority of India (SAI): This scheme aims at the recognition of young sportspersons and their outstanding performance at the university, state and national; levels. A selection committee chooses students on the basis of their merits. The payments of the scholarship are being made through the regional centres of the SAI to the head of the institution in which the awardees study.

Institutional Aid at SGSU

The SCOPE Global Skills University https://sgsuniversity.ac.in/ was established in Bhopal, Madhya Pradesh with its sole aim of providing quality education and skill development to the youth of the backward regions in an affordable manner. The university was also established to support various government programs and policies like PMKVY, Digital India, Swachh Bharat, Jan Dhan Yojana and more.

To help the activities of the government, SGSU has launched its own scholarship program known as Shiksha Mitra Scholarships. It can be considered the largest university-aided scholarship program at the state level. Scholarships worth Rs 1 Crore are to be handed out under this particular program. The scholarship rewards the students on the basis of their marks in 12th standard board examinations. The university also allows scholarships to those who are applying for postgraduate programs.

Conclusion

In conclusion, India’s education system faces challenges that are significant in nature. This includes poor quality of education in government institutions and the soaring cost of education, particularly in higher education. To address this issue different forms of financial iads are crucial including financial grants, scholarships, fellowships and education loans. Central and state government can also play a pivotal role in making education more accessible through schemes like National scholarships, AICTE scholarships and sports scholarships.

 In addition to that, institutions like SGSU https://sgsuniversity.ac.in/ are taking proactive steps by offering their own programs of scholarships like Shiksha Mitra Scholarships to support students in pursuing quality education as well as skill development, particularly in underserved regions. These initiatives collectively aim for the mitigation of financial barriers hindering access to education and improve the overall quality of the education system in India.