IIM support halved amidst swelling education budget

Indian Institutes of Management (IIMs) which of ten find themselves in the upper crust of all business schools in the country are faced with a staggering cut in this budgetary session. The funding for these institutes was brought down to Rs 300 crore from the previous fiscal year's revised estimate of Rs 608.23 crore, a 50.67% drop, even when the net budget for the fiscal year 2023-24 rose by 8% amounting to Rs 44, 094 crores for the higher education sector.

- ADITI ALURKAR Mumbai

Experts assess that halving funds could pose a larger problem for the six new or baby IIMs which have been set up by the centre after 2015, rather than the second-generation IIMs that were established in the 2010s or the first-generation IIMS that preserve a near 50-year legacy.

"IIM Calcutta has never relied on any government grant. We generate our total revenue on our own where 35% comes from training programmes that are both, remote and on campus. The 65% chunk comes from the tuition fees we charge.

Though old IIMs like IIM-C will face practically no change, this budget cut is not a good sign as public money must be spent on education.