- As per CARE rating agency, the unemployment rate in India may increase further as a high proportion of students enroll in engineering, vocational and information technology courses.
- Per student, the average expenditure on education in India is ₹8,331.
- According to the report, the average expense for enrolling in a professional course can go as high as ₹72,000 per student.
- Of the total expenses incurred on the education of every student, over half of the amount is spent on tuition and exam fees — and that excludes course material, books and uniform.
India is one of the world’s largest economies which is also home to the youngest population.
Most of these youngsters are pursuing higher studies and spending more on education. That could be a boon and a curse both as it will increase the already high unemployment rate, says a report by CARE agency.
In the last decade, the expenses on general education that includes primary to post graduate courses increased fourfold to ₹8,331 per student per annum. The cost for
professional courses went up by nearly 52%.
]]>
India's economic growth has been weakening for five straight quarters and is at a six-year low. The sliding economic growth does not bode well for employment opportunities but the cost of education is constantly rising.
Engineering Employment declines on a monthly basis The unemployment rate in October stood at 8.5% — the highest in three years. According to a recent survey by trade body of IT and staffing
TechServe Alliance, engineering employment is declining on a month-on-month basis. It fell by 0.18% in October compared to September for total employment of near 2.7 million.
All this while, education is turning costlier in India. The average expenditure for professional course stood at ₹ 64,763 in urban areas — twice that of in rural India at ₹32,137. According to the report, it can go as high as ₹72,000 per student.
The chart below shows a significant rise in expenses as the education level increases. However, the education expenses for technical courses has declined due to higher subsidies, scholarships and growing number of institutes and the resultant competition.
]]>
But it is yet unknown as to what kind of returns these expenses will provide.
“It is of utmost importance that there is sufficient number of jobs created in these fields. In the absence of such jobs, the unemployment rate would tend to increase as qualified students may not be willing to take up jobs which require lower qualification,” it said.
Meanwhile, spending on general education including postgraduate and certification courses also increased.
