December 29, 2001

Indian Government to constitute Bharat Shisha Kosh

M.P.Prasanna Kumar

New Delhi; The Government has decided to constitute a ‘Bharat Shiksha Kosh’ to fill in the gap between actual financial requirements of the education sector and the available budgetary support. State funding of this sector, despite best efforts, has been inadequate and it has not so far been possible to set apart 6% of the GDP for education. The Union Cabinet has also cleared this scheme.

The Government has decided to constitute this ‘Kosh’ to receive donations/ contributions/endowments from individuals and corporates, Central and State Governments, NRIs and PIOs for various educational purposes. Contributions to the Kosh can
be both in cash and kind. It would also permit sponsorship under which any organisation or individual can become sponsors of the educational activities in a particular village, town, city, school, college or even a child through the payment of a specified amount. A school or college or a building or even a block may be named after the sponsor on payment of a prescribed amount. Similarly, prizes, scholarships and chairs in the educational institutions could also be instituted in the name of the sponsors.

All sectors of education are proposed to be funded out of the incomes from the "Kosh". Basically, its activities would include providing assistance to professional, technical and general institutions and providing infrastructure in both existing and new institutions. It would also fund research activities, especially in emerging areas and be involved in promotion of quality in education to establish world class institutions in the country.

The Kosh will be managed by the Society constituted and registered under Societies Registration Act, 1860 to lend adequate flexibility in its management. A General Body chaired by the Minister for Human Resource Development would determine policy and oversee, supervise and coordinate the affairs of the Kosh. Other members will include officers and eminent persons from various fields including corporate sector, private educational foundations and voluntary organisations. There would also be a "Board of Governors (BOG)" chaired by the Secretary, Department of Secondary and Higher Education for the management and administration of the Kosh. This will have a few members of the General Body nominated for the purpose.

The Government has made an initial contribution of Rs. 1 crore to the Kosh and hopes that individuals and corporates will also contribute generously to the educational development of the country. Contributions, donations etc. to the Kosh would qualify for hundred per cent deduction under the Income Tax Act, 1961 and also be exempted from the provisions of FCRA