By Siddharth Banerjee
Among the fastest-growing nations worldwide, India has charted an ambitious course toward becoming a $5 trillion economy over the next few years. To achieve this landmark, the country requires a strategic overhaul in multiple sectors, particularly education. However, the nation’s enormous educational potential, which boasts over 1,100 universities and 45,000 colleges, remains untapped. For the most part, the higher education sector is enchained by conventional curricula, limited accessibility to resources, and a glaring disconnect between industry requirements and academic theory. These critical barriers suppress India’s intellectual capital and hamper the development of the future workforce, which is necessary for a high-growth economy.
Online higher education is essential to achieve national goals
Considering this, to achieve the mighty goal of reaching $5 trillion, a radical shift in the educational approach is the need of the hour. In effect, the Ed-tech sector’s contribution to the country's GDP is projected to rise from 0.1 percent in 2020 to 0.4 percent by 2029.
Therefore, online higher education is becoming increasingly pertinent to shaping a skilled and talented workforce that not only enhances employability but also boosts the entrepreneurial space. With its ability to address geographical constraints, bridge the urban-rural divide, provide flexible learning alternatives, and integrate industry-centric skills, it presents a unique chance for millions of learners to become critical drivers in realizing India’s economic aspirations.
Current scenario
The online higher education market is likely to reach $ 0.96 billion this year. In the forthcoming years, the sector will continue to thrive, with projections demonstrating an annual growth rate of 11.99 percent from 2025 to 2029.
Besides, the National Education Policy (NEP) 2020 also promotes the assimilation of technology in education, which is a substantial component in ensuring accessibility, inclusivity, and flexibility. The policy emboldens the development of digital platforms and tools to enhance the learning experience, especially for the remote belts of the nation, along with serving diverse student needs. Online higher education aligns with these NEP objectives, imparting opportunities for consistent learning. Additionally, it falls in tandem with contemporary trends in technology, innovation, and entrepreneurship. Over time, it is bound to build a workforce that can lead, innovate, and drive advancement across sectors.
Factors shaping online higher education
A Redseer Consulting report states that online higher education in India is emerging as the fastest-growing sub-segment of Ed-tech. A range of factors is said to contribute to this surge.
First, regulatory support: The University Grants Commission (UGC) notification 2018 allowed eligible universities to offer fully online degree programs, and the UGC notification 2022, granting equivalence of online degrees to regular full-time degrees, paved the way for greater accessibility to quality higher education.
Second, industry-academia collaboration: Universities and OPM/Ed-tech companies are working in sync with the industry to align curricula with contemporary trends, ensuring learners and professionals possess ready skills.
Third, increased internet penetration: With affordable smartphones and digital connectivity reaching remote areas, learners can now access world-class education opportunities, thanks to this affirmative development.
Another trend that is equally critical in altering the course of the online higher education landscape is the integration of progressive technologies. AI-driven 24/7 learning chatbots and virtual tutors provide real-time support, ensuring a seamless learning experience that suits the pace and learning style of every individual. VR and AR have further enriched learning experiences, breaking down complex theories in engineering, architecture, or medicine into interactive snippets. Such a technological revolution in the learning process is equipping all for a digitized economy.
Critical challenges in realising the full potential
The transition of higher education from traditional university settings to online platforms comes with several challenges, including maintaining academic rigor, ensuring student engagement, and bridging the industry-academia gap. Despite the rapid growth of online higher education, skepticism remains, particularly regarding employability and skill readiness.
Yet, the online higher education market continues to expand, driven by the flexibility and accessibility it offers learners. This growth was further reinforced by the University Grants Commission (UGC) in 2022, when it officially recognized online degrees from accredited universities as equivalent to traditional offline degrees. This decision has encouraged greater acceptance among employers and gradually shifted industry perceptions toward online degree holders. The rapid expansion of the online education sector has also led to an influx of providers, making the need for quality course design and delivery more critical than ever. As online degree programs gain recognition, the responsibility lies with education providers to design courses that effectively address the specific skills sought by employers, thereby bridging the industry-academia gap.
Moreover, collaboration between educational institutions and industry leaders is essential to ensure that courses integrate real-world case studies and leverage cutting-edge technologies to enhance practical learning experiences.
Affordability is another concern, as many students find online higher education expensive, which can act as a deterrent. Such economic barriers must be addressed by online education providers through innovative pricing models, scholarships, or financial assistance.
(The author is CEO, UNIVO Education)
Views are personal and do not represent the stand of this publication.
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