Budget 2023 | Rs 1.12 lakh crore allocated for education sector

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Finance Minister Nirmala Sitharaman on February 1 announced a record Rs 1,12,899 crore as expenditure on education in the Union Budget 2023-24.

This is Rs 8,621 crore more than the budget estimate (BE) for 2022-23 and translates to nearly 8.26 growth when compared with the previous budget estimate (BE) of Rs 1,04,278 crore.

Allocation for school education has increased by 8 percent from Rs 63,449 crore (Budget Estimate) in 2022-23 to Rs 68,804 crore in 2023-24.

Further, higher education has received Rs 44,094 crore in 2023-24, an increase of 7.9 percent from Rs 40,828 crore (Budget Estimate) in 2022-23.

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Allocation for education remained the same as the last two years’ revised estimate of 2.9 percent of GDP in 2022-23, the Economic Survey 2023 released on January 31 said.

Samagra Shiksha Abhiyan, the union government’s flagship programme for pre-primary to higher secondary level schools, has been allocated Rs 37,453 crore, almost the same amount as last year - Rs 37,383 crore (BE) in 2022-23.

Further, the Centre will also recruit 38,800 teachers and support staff for 748 Eklavya Model Residential Schools in the next three years.

Higher Education

The elite Indian Institute of Technologies (IITs) have been allocated Rs 9,661 this year, as opposed to Rs 8,495 crore last year (BE).

Further, Indian Indian Institute of Managements (IIMs) have been allocated Rs 300 crore this year, as opposed to around Rs 654 crore last year (BE).

The Finance Minister also announced that a research grant will be provided to one of the IITs for five years to encourage the indigenous production of lab-grown diamonds.

"Lab-grown diamonds is a technology and innovation-driven energy-driven sector with high employment potential," the FM said.

Allocation to the UGC or University Grants Commission, the higher education regulatory body, has increased by Rs 460 crores with Rs 5,360 crore allocated in Budget 2023.