India’s higher education sector has expanded significantly over the past decade, with a sharp increase in the number of universities, colleges, students and teachers, alongside greater participation of women and students from SC, ST, and OBC communities, according to a report by SBI Research.
The number of universities, colleges and standalone institutions rose to 1,289, 48,246, and 15,221, respectively, in FY24, marking an average growth of 47% from FY14, the report said.
Student enrolment crossed 4.5 crore in FY24, with boys and girls accounting for almost equal shares. Female enrolment grew 47% over FY14 while the combined share of SC, ST, and OBC students reached 62%. Women also outnumbered men in science programmes.
PhD enrolment stood at 3.4 lakh in FY24, with women accounting for nearly half of the total. About 43.7% of PhD students were enrolled in engineering and science programmes. The number of teachers rose 27% to 17.32 lakh in FY24 from FY14, with women accounting for 45% and SC, ST, and OBC candidates making up 55% of the teaching workforce.
India’s pupil-teacher ratio (PTR) for regular-mode higher education stood at 23, which the report said was broadly comparable with international standards. Leading institutions in the US and Europe typically operate with ratios of 25:1 to 30:1, depending on the programme.
IITs, IIMs, and NITs see expansion, higher salaries
The number of IITs, IIMs and NITs increased from 59 in FY14 to 76 in FY26, with seven new IITs, nine IIMs and one additional NIT, according to the report. Combined student enrolment at IITs and NITs increased to around 2.44 lakh in FY24 from 1.62 lakh in FY18. Enrolment across IIMs under all programmes nearly doubled to 18,243 in FY24 from 9,298 in FY18.
Women’s participation in management education also increased. Among 14 IIMs for which data was available, the share of women in postgraduate programmes rose to 37.7% in FY24 from 26.3% in FY18. Women accounted for around 20% of students at IITs and NITs in FY24.
Placements also increased across the three categories of institutions. IIM placements rose to around 13,700 in FY24 from 7,500 in FY16 while IIT placements increased to 17,500 from 9,500. NIT placements rose to around 29,000 from 18,000 during the same period. Overall, 93% of students were placed, the report said.
Median salaries across IIMs, IITs, and NITs increased 105% in FY24 compared with FY16. At IIMs, median salaries crossed ₹40 lakh in FY24.
The report also noted that the number of students opting for higher studies at IITs and NITs reached a record high in FY24, reflecting growing interest in advanced research, emerging technologies and global career opportunities.
Funding, vacancies remain key challenges
Despite the expansion, SBI Research flagged several structural challenges facing India’s higher education system. The share of budget expenditure on higher education has remained around 1% of total expenditure for nearly two decades, down from 1.6% in FY18. The report recommended raising this share to 1.5%.
Teacher vacancies are another concern, with around 34% of positions vacant across institutions. Vacancies were particularly high at the professor level, at 54%, underscoring the need to strengthen faculty recruitment as well as research and development spending.
The report also called for stronger academia-industry linkages, arguing that industry should play a more active role in research and skills development rather than focusing primarily on policy changes.
India’s vocational training penetration remains low despite improvement. Only 30.7% of people aged 15-29 received vocational training in FY24, up from 7.1% in FY18, but still significantly below levels in developed economies.
There are also wide interstate variations in pupil-teacher ratios. Tamil Nadu, Kerala, and Goa have around 14 students per teacher, compared with 57 in Bihar, highlighting the need for greater regional balance, the report said.
SBI Research also flagged a sharp difference in affordability between private and public universities. While placement and higher-study outcomes at reputed private and public institutions are broadly comparable, the cost of private education can be significantly higher. The report suggested a more rational fee structure for students who can afford higher fees, with additional resources potentially used to strengthen infrastructure at leading public institutions.
The report also recommended drawing lessons from large-scale examinations such as China’s Gaokao, which attracts more than 12 million candidates, particularly in logistics, implementation and scale. It proposed transforming the National Testing Agency from a society registered under the Societies Registration Act, 1860, into a statutory body created through an Act of Parliament, arguing that this could strengthen its institutional capacity, credibility, and expertise.
