Panel Urges Increase in Education Spending to 6% of GDP, Flags Slow Progress on NEP Target

A parliamentary panel has called for a substantial increase in public spending on education, reiterating the National Education Policy’s recommendation of allocating six per cent of the country’s GDP to the sector. The panel noted that current expenditure remains significantly below this benchmark, raising concerns over the pace of reform.

In its observations, the committee pointed out that public investment in education has hovered a little above four per cent of GDP in recent years, limiting the scope for expanding infrastructure, improving teacher training and strengthening research capacity. The gap between policy ambition and fiscal commitment, it said, continues to constrain outcomes.

The panel emphasised that sustained funding is critical to achieving the structural changes envisioned under the NEP, including early childhood education expansion, digital learning initiatives and multidisciplinary higher education reforms.

It also flagged disparities across states in education spending and outcomes, suggesting the need for better coordination between the Centre and state governments. Without a clear roadmap for increased allocation, the report warned, key targets risk remaining aspirational.

The recommendations come at a time when the education sector is navigating multiple transitions, with policymakers under pressure to align financial priorities with long-term institutional goals.