A helping hand for Indian universities

A helping hand for Indian universities

Article

1. C. Raj kumar of OP Jindal University observes that corporate Social Responsibility (CSR) funding shoulding be made available for universities in India.

Important Analysis

2. The companies Act, 20113 introduced the Corporate Social Responsibility.
3. According to ministry of corporate Affairs in data, in 2015-16 out 5097 companies only 3118 companies made some contribution towards CSR expenditure.
4. During fil 2014-15, 3139 companies had spent 74% of the prescribed CSR expenditure.
5. Issues with CR

• Lack of strategic thinking and innovation in CSR
• Companies have taken CSR a charitable Endeavour and have not understood its goals.

6. Issues with funding in the Higher Education sector

• Public universities in India are highly dependent on the govt. for its funding. This has limited its capacity for funding.
• Access to funds is a major problem due to complex procedures, delays and regulatory obstacles.
• Universities do not have the flexibility to the speed resources according to their need and prioniters.
• There is limited philanthropy. Further, banks and financial institutions have not made much funding is higher education
• Private higher education institutions are mediocre in avidity and are profit driven

7. Role of Cooperate Sector in Higher Education

• Narayan Murthi committee Report:
• It acknowledges the role of private initiatives in higher education sector. It had made the following recommendations
• Free land for 999 years
• 300% deduction in taxable incomes to companies for contributing towards boosting higher education
• 10 years multiple entry visas for foreign research scholars
• RS 1000 crore scholarship fund (with tax exemption for corporate sector contributions) to promote greater accessibility of higher education to the underprivileged

8. Way Ahead

• Reexamination of budgetary resources to higher education
• Policy interaction to ensure funding from banks and financial institutions
• MHRD should worth  in cooperation with MCA to incentivize CSR funding to higher education institutions
• Ensure transparency in the system and promote robust institution building.