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Educational
Financing in India
in India the list of power of the government
has been categorized into three
List-1
List-2
and list-3
1st list consists if the areas on which central
government holds power
2nd list consists of the areas on which the
state governments hold power.
And the third list consists of the areas on which both central
government and the state governments hold power jointly.
And the third is known as concurrent list
so if you are asked what the concurrent list is, just say, ‘ it is
the list of items on which both central and state governments
hold power jointly in India’.
Power in India
List-2
State Government
Only
List -3
Concurrent List
List-1
Central Government
Only
Until 1976, education had been in list-2
excepted for only a few areas of it
And Since 1976 ( through a constitutional
amendment) it has been in the third i.e. in the
concurrent list
Expenditure in Education
India
The Plan Expenditure The Non- Plan Expenditure
Developmental Purpose Maintenance Purpose
Building a
New School
Introducing a
New Programme
Repairing
The Building
Purchasing
New Furniture
Structure of Educational
Expenditure in India
Sources of Fund for
Education in India
External Internal
Sources of Educational
funding in India
Aid Loan Others Public Private
Fees Endowment Donation
Govt. Quazi-Govt.
Central State District Municipalities Panjayath
Meager
Huge
Contribution of Different
Sources to Education in India
57%
68.00%
75.60%
81.70%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
1950-51 1960-61 1970-71 1980-81
Govt.
Quazi Govt.
Fees
Endowment
68%
74.50%
81.30%
86.10%
32.00%
19.50%
13.70% 13.60%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
1950-51 1960-61 1970-71 1980-81
Govt.
Private
Contribution of Different
Sources to Education in India
Look at Hike in Public
Expenditure for Educating
One Pupil
1987-88
1987-88Rs. 884.5
1950-51
1950-51
Rs. 35.6
Look at Hike in Public
Expenditure for Educating
One Pupil
That means…. A hike of
2500% within three decades
THE PLANNING
COMMISSION
 Established during 1950s when the Five-Year
Planning Process was launched
 Al Plans are discussed and Finalized by it
 The Level of plan expenditure by state and
central govt. is determined by it.
 The Programmes and their goals to bbe
realized during each five year plans also is
decided by it.
THE PLANNING COMMISSION
75% 75% 74%
67.00%
70%
78%
63%
25.% 25.% 26.%
33.% 30%
22.%
37.%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
First
Five
Year
Plan
Second
Five
Year
Plan
Third
Five
Year
Plan
Forth
Five
Year
Plan
Fifth
Five
Year
Plan
Sixth
Five
Year
plan
Seventh
Five
Year
Plan
StateGovt.
Central Govt.
Contribution of State Govt. and Central
Govt. during Different Five Year Plans
THE FINANCE
COMMISSION
THE FINANCE
COMMISSION
The Finance Commission takes
care of the transfer of non-plan
resources between the centre and
states. The Finance Commission in
India is a statutory body
appointed by the President of
India once every
five years. It makes its
recommendation on the
distribution of resources
based on the provisions of the
Constitution.
THE FINANCE
COMMISSION
The Finance Commission receives
detailed
statements from the states of their
requirements for each head of
account
including the details of receipts
and expenditures. The Finance
Commission, in its tum, reassesses
these state forecasts and
recommendations for an allocation
of resources to be made.
Procedure for Fund Allocation
THE FINANCE COMMISSION &
THE PLANNING COMMISSION
 An organ of the
Union
government
 Development
Process Through
Allocation of Plan-
Expenditure
 A constitutional
body
 Maintenance
Process through
Allocation of Non-
Plan Expenditure

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Educational financing in India: Features and Statistics

  • 2. in India the list of power of the government has been categorized into three
  • 6. 1st list consists if the areas on which central government holds power
  • 7. 2nd list consists of the areas on which the state governments hold power.
  • 8. And the third list consists of the areas on which both central government and the state governments hold power jointly.
  • 9. And the third is known as concurrent list
  • 10. so if you are asked what the concurrent list is, just say, ‘ it is the list of items on which both central and state governments hold power jointly in India’.
  • 11. Power in India List-2 State Government Only List -3 Concurrent List List-1 Central Government Only
  • 12. Until 1976, education had been in list-2 excepted for only a few areas of it
  • 13. And Since 1976 ( through a constitutional amendment) it has been in the third i.e. in the concurrent list
  • 14. Expenditure in Education India The Plan Expenditure The Non- Plan Expenditure Developmental Purpose Maintenance Purpose Building a New School Introducing a New Programme Repairing The Building Purchasing New Furniture Structure of Educational Expenditure in India
  • 15. Sources of Fund for Education in India External Internal Sources of Educational funding in India Aid Loan Others Public Private Fees Endowment Donation Govt. Quazi-Govt. Central State District Municipalities Panjayath Meager Huge
  • 16. Contribution of Different Sources to Education in India 57% 68.00% 75.60% 81.70% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 1950-51 1960-61 1970-71 1980-81 Govt. Quazi Govt. Fees Endowment
  • 17. 68% 74.50% 81.30% 86.10% 32.00% 19.50% 13.70% 13.60% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 1950-51 1960-61 1970-71 1980-81 Govt. Private Contribution of Different Sources to Education in India
  • 18. Look at Hike in Public Expenditure for Educating One Pupil 1987-88 1987-88Rs. 884.5 1950-51 1950-51 Rs. 35.6
  • 19. Look at Hike in Public Expenditure for Educating One Pupil That means…. A hike of 2500% within three decades
  • 21.  Established during 1950s when the Five-Year Planning Process was launched  Al Plans are discussed and Finalized by it  The Level of plan expenditure by state and central govt. is determined by it.  The Programmes and their goals to bbe realized during each five year plans also is decided by it. THE PLANNING COMMISSION
  • 22. 75% 75% 74% 67.00% 70% 78% 63% 25.% 25.% 26.% 33.% 30% 22.% 37.% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% First Five Year Plan Second Five Year Plan Third Five Year Plan Forth Five Year Plan Fifth Five Year Plan Sixth Five Year plan Seventh Five Year Plan StateGovt. Central Govt. Contribution of State Govt. and Central Govt. during Different Five Year Plans
  • 24. THE FINANCE COMMISSION The Finance Commission takes care of the transfer of non-plan resources between the centre and states. The Finance Commission in India is a statutory body appointed by the President of India once every five years. It makes its recommendation on the distribution of resources based on the provisions of the Constitution.
  • 25. THE FINANCE COMMISSION The Finance Commission receives detailed statements from the states of their requirements for each head of account including the details of receipts and expenditures. The Finance Commission, in its tum, reassesses these state forecasts and recommendations for an allocation of resources to be made. Procedure for Fund Allocation
  • 26. THE FINANCE COMMISSION & THE PLANNING COMMISSION  An organ of the Union government  Development Process Through Allocation of Plan- Expenditure  A constitutional body  Maintenance Process through Allocation of Non- Plan Expenditure