The 2025-26 Union Budget for education reveals a troubling trajectory for India’s public education system. While education is the backbone of any sustainable development, the latest budget, far from empowering public education, underscores the government’s growing inclination towards corporate interests and privatization. The gap between the rhetoric of “Viksit Bharat” and the actual budgetary allocations signals a disregard for the constitutional mandate of providing equitable quality education to all.
The budget, presented by Finance Minister Nirmala Sitharaman, offers only a nominal increase for the Ministry of Education. With an allocation of Rs. 1,28,650 crores, the education budget has increased by Rs. 8,022 crores compared to the previous year. On the surface, this might appear as a step forward, but in reality, it reflects a stagnation when measured as a percentage of GDP. The allocation for education remains at 0.36% of the GDP, a slight dip from 0.37% in 2024. This is a clear indication that despite assurances of prioritizing education, the government is failing to adequately invest in the sector.
Meagre Support for School Education
The government’s pledge to ensure “100% good quality school education” under its Viksit Bharat initiative rings hollow in light of the budget’s minimal increase for school education. The Department of School Education and Literacy (DSE&L) has received Rs. 78,572 crores, a 7.6% increase over last year’s allocation of Rs. 73,008 crores. However, this modest hike is grossly insufficient to address the myriad challenges facing the country’s public schooling system, including teacher shortages, inadequate infrastructure, and poor learning outcomes.
The Samagra Shiksha Abhiyan, a critical scheme for implementing the Right to Education Act (RTE) and supporting universal access to education, has been allocated Rs. 41,249 crores, an increase of just 10% from the previous year. Given that this scheme is shared across 28 states and 8 Union Territories, the amount is woefully inadequate. With the compliance rate of the RTE Act at a mere 25.5% nationally—despite a 2013 deadline for full compliance—this budget signals an abdication of responsibility on the part of the central government. States and Union Territories are left to grapple with insufficient resources, risking further deterioration in the quality of education.
The Pradhan Mantri Poshan Shakti Nirman (PM POSHAN) scheme, essential for improving child nutrition and encouraging school retention, saw only a token increase of 0.26%, from Rs. 12,467 crores to Rs. 12,500 crores. In a country where malnutrition is a persistent issue, and where millions of children depend on mid-day meals, this negligible rise is a disheartening reflection of the government’s misplaced priorities.
Higher Education and the Privatization of Research
The higher education sector has similarly suffered from underfunding. While the budget allocates Rs. 50,078 crores to higher education, this represents a 10% decline from the actual expenditure of Rs. 55,393 crores in 2023-24. Such inconsistency in funding not only hinders the expansion of higher education but also places financial strain on institutions, many of which are already struggling.
What is more troubling is the increasing privatization of research. The budget allocates Rs. 20,000 crores to the Department of Science and Technology, but the emphasis on “private sector-driven innovation” reflects the government’s shift away from public research initiatives. Notably, public research programs like the National Initiative for Design Innovation, Startup India in Higher Educational Institutions, and Unnat Bharat Abhiyan saw budget cuts, with allocations dropping from Rs.355 crores to Rs. 327 crores. Worse still, last year’s actual expenditure on these programs was just Rs. 74.5 crores. This gap between allocation and expenditure underscores the disconnect between the government’s ambitious announcements and the ground reality.
Furthermore, the allocation for “World Class Institutions” has been slashed by over 50%, from Rs. 1,000 crores to Rs. 475 crores. Such drastic cuts raise serious concerns about the government’s commitment to building globally competitive institutions and advancing scientific research for the public good.
Neglect of Marginalized Students and Scholars
The silence on scholarships and financial aid for marginalized students is another glaring omission. The longstanding demand for a non-NET scholarship, which would provide financial support to research scholars not covered by major fellowships, remains unaddressed. Additionally, the discontinuation of the Maulana Azad National Fellowship (MANF), which was a lifeline for minority students, leaves many scholars in financial jeopardy. By failing to introduce new relief measures for these students, the government is exacerbating the inequities already present in India’s higher education system.
Corporate-Driven Education: The Larger Agenda
One of the most concerning aspects of this budget is the government’s clear preference for corporate-driven initiatives over public education. The establishment of a Centre of Excellence in Artificial Intelligence for Education with an allocation of Rs. 500 crores, while promising on the surface, is emblematic of a larger shift towards privatization. The focus on emerging technologies and private-sector innovation, while cutting funds for public research and education, signals the government’s intention to hand over key sectors of education to private entities.
This approach reflects a broader trend of commercialization, where accessibility and equity are sacrificed in favor of market-driven models. As corporate interests are increasingly prioritized, the most vulnerable sections of society—marginalized students, scholars, and those dependent on public schooling—are being systematically excluded from the education system.
The Need for a People-Centric Approach
The 2025 education budget is a stark reminder of the growing gap between the government’s promises and its actions. Instead of investing in a robust public education system that is accessible to all, the government is favouring privatization and corporatization. This not only undermines the constitutional right to education but also risks deepening social inequities. It is imperative that progressive and democratic forces across the country come together to demand a people-centric approach to education—one that prioritizes the public good over corporate profit.
