PUBLIC PRIVATE PARTNERSHIP IN INDIAN HIGHER EDUCATION

Abstract

Public Private Partnership has become a popular term in recent times. Earlier it was restricted to infrastructure, but has now being extended to health care and education. Public Private Partnership is a government service or private business venture, which is funded through a partnership of government and one or more private sector companies.

The liberalization of the Indian economy in early nineties has seen the spurt of privatization in Indian higher education system. Education is essentially a government supported merit good. But with the rapid expansion of this sector the government finds it difficult to cope with the situation and has to be supported by other sources of finance.

Recognizing the gravity of the situation the Government appointed a Committee to look into the concept of Public Private Partnership and recommend models to improve access and quality of higher education. Accordingly four models namely basic infrastructure model, outsourcing model, hybrid model, reverse outsourcing models were recommended.

The rationale of Public Private Partnership can be linked to resource crunch, increased demand, rising global competition, adequate infrastructure and greater accessibility. The concept has its share of challenges and opportunities,; but through self-discipline and proper policy mix the economy can move forward and reach greater heights.