What to Read in Indian Express Editorial( Topic and Syllabus wise)

Editorial 1 : Ripples in the Classroom

Context: How Indian universities can benefit from federal cuts and policy changes in foreign universities

Current State of India’s Higher Education System

• Capacity Constraints
  • Demographic Challenge
    • 420 million youth aged 15–29 years.
    • Only 45 million enrolled in higher education.
  • Institutional Shortfall: 40,000 higher educational institutions (HEIs) exist, but need 5x expansion to meet NEP 2020’s 50% enrolment target.
• Quality and Access Issues
  • Public vs. Private Divide
    • Public HEIs: Insufficient growth, high vacancies (e.g. Delhi University’s stagnant faculty strength).
    • Private HEIs: Dominate (50% of universities) but face trust deficit in quality.
  • Outflow of Students: Around 500,000 Indian students go abroad annually due to excess demand for quality education.

Challenges Driving Unemployment and Underemployment

• Root Causes
  • Limited Capacity: Inadequate seats in quality institutions.
  • Skill Mismatch: Poor-quality education leads to unemployability.
  • Affordability: Majority cannot afford high tuition fees of private institutions.
• Structural Issues in Public Institutions
  • Faculty Shortages: High vacancies due to slow hiring processes.
  • Infrastructure Decay: Crumbling facilities in public universities.

Global Shifts Creating Opportunities for India

• Declining Appeal of Traditional Destinations
  • US: Anti-immigrant policies, reduced OPT (Optional Practical Training) opportunities.
  • Canada & Australia: Visa cuts and restrictive immigration policies.
• Revenue Pressures on Foreign Universities
  • Foreign universities (US, Canada, Australia) face declining enrolments and need new revenue streams.
  • India’s Advantage: Large youth population and aspirational demand for quality education.

Strategies to Expand Capacity and Quality

• Attracting Foreign Universities
  • Enact legislation to ease entry of foreign universities (as per NEP 2020).
  • Address lukewarm uptake by facilitating land acquisition and complementary inputs.
  • Collaborative Models: Promote joint degrees and partnerships between Indian and foreign institutions.
• Revitalizing Public Institutions
  • Fill faculty vacancies through adaptive hiring processes.
  • Upgrade infrastructure in public HEIs.
  • Brand Value: Leverage existing reputations (e.g. Delhi University) to scale capacity.
• Strengthening Private Sector Participation
  • Trust-Building: Partner with globally reputed universities to enhance credibility.
  • Regulatory Facilitation: UGC should streamline approvals for private collaborations.

Economic and Employment Benefits of Education Expansion

• Direct Employment Generation
  • For every 10% increase in education investment, employment grows by approx. 4%.
  • Jobs range from high-skilled faculty to low-skilled campus service roles.
• Inter-Sectoral Linkages
  • Forward Linkages: Skilled graduates boost productivity in industries like IT, healthcare, and finance.
  • Backward Linkages: Growth in publishing, construction, and technology sectors.
• Macroeconomic Impact
  • Consumption Boost: Higher employability increases aggregate demand.
  • Virtuous Cycle: Education-led growth leads to higher investments and economic expansion.

Way Forward and Conclusion

• Urgent Actions Needed
  • Policy Dynamism: Fast-track collaborations with foreign universities.
  • Public Investment: Prioritize funding for faculty recruitment and infrastructure.
  • Quality Assurance: Enforce accreditation frameworks for private institutions.
• Long-Term Vision
  • Transform India into a global education hub to retain talent and attract foreign students.
  • Align education expansion with skill demands of the 21st-century economy.
• By leveraging global shifts and domestic reforms, India can address its education crisis while driving economic growth and employment.

 

Editorial 2 : A Good Low

Context: Sustained moderation in inflation.

Introduction: Both wholesale (WPI) and retail (CPI) inflation rates moderated. Wholesale Price Index grew by just 0.9% in April 2025, which is a 14-month low. Retail inflation measured by the Consumer Price Index came in at 3.2% in April, the lowest level in six years.

Wholesale Price Index (WPI) Trends

• Consistently low or negative over the past 24 months (e.g. periods of deflation).
• It is less concerning compared to CPI for policymakers.
• WPI has not been a major stress point for India’s economy in recent years.

Consumer Price Index (CPI) Trends

• RBI’s Comfort Zone: 2–6% target range.
• Historical Volatility
  • Since 2019: Multiple spikes above 6–7% due to supply shocks like unseasonal weather (e.g. excessive rains), COVID-19 pandemic disruptions and Russia-Ukraine war impacts.
  • FY25 Inflation: Averaged 4.6%, the lowest since FY19 and closer to RBI’s 4% target.

Factors Driving Inflation Moderation

• Crude Oil Price Trends: Expected moderation in global crude prices reduces input costs across sectors (e.g. transport, manufacturing).
• Monsoon Forecast: Above normal monsoon predicted for 2024, likely boosting agricultural output and stabilizing food prices.
• Base Effect: High inflation in previous years creates a favourable statistical base for lower YoY comparisons.

Future Outlook

• FY26 Projections: Analysts estimate CPI inflation at 3.5%, down sharply from more than 6% levels in FY21–FY23.
• Key Risks
  • Geopolitical tensions affecting oil prices.
  • Erratic monsoon impacting food inflation.

Policy Implications

• Fiscal Measures – Excise Duty Hike: Government raised duties on petrol/diesel by Rs. 2 per litre in April 2024 to mobilize Rs. 300 billion in revenue amid lower crude prices.
• Monetary Policy – RBI Rate Cuts
  • 50 basis points reduction expected over June and August 2024 policy reviews.
  • Reflects confidence in inflation staying within target, enabling growth-focused measures.
• Broader Economic Impact
  • Consumer Relief: Lower inflation boosts disposable income and demand.
  • Growth Momentum: Policy space opens for investments in infrastructure and job creation.

Conclusion: The sustained moderation in inflation, particularly CPI, marks a turning point for India’s economy after years of volatility. While external risks (oil prices, monsoon) persist, the current trajectory supports fiscal consolidation and accommodative monetary policy to drive growth