September 2011 has been the weakest quarter for jet king compared to last 12 quarters this can be

due to slow down in the Indian economy, rising prices and their poor return on investment.
Jet king has huge investments in mutual funds and equity markets. Since equity markets have
performed worst this year, their other income has also decline which resulted into less profits.

Education in India
Nov 28, 2011
Indlu hus one of the lurgest educutlon systems ln the world. The Indlun educutlon system ls dlvlded lnto two mu|or
segments: core und non-core buslnesses. The core group conslsts of schools und hlgher educutlon, whlle the non-core
buslness focuses on segments such us pre-schools, vocutlonul trulnlng und couchlng clusses.
Accordlng to the report Emerglng Opportunltles for Prlvute und Forelgn Purtlclpunts ln Hlgher Educutlon releused by
PrlcewuterhouseCoopers (PwC), the educutlon sector ln Indlu ls one of the thrust ureus for lnvestments us the entlre
educutlon system ls undergolng u process of overhuul. The educutlon sector, wlth un estlmuted slze of USS 25 bllllon,
entulls three gouls of expunslon, lncluslon und quullty, to be uccepted us one of the best on lnternutlonul cunvus.
Accordlng to the report, the government hus set u turget to uchleve 21 per cent of gross enrolment rutlo (GER) by the
end of the Twelfth flve yeur plun (2012-2017).
Consultlng flrm Technopuk ls more bulllsh ubout the growth of the sector und estlmutes thut prlvute educutlon sector
ltself would grow to USS 70 bllllon by 2013 und USS 115 bllllon by 2018. Technopuk sees enrollments ln K-12
growlng to 351 mllllon, requlrlng un uddltlonul 34 mllllon seuts by 2018. Thls equuls USS 80 bllllon ut USS 2400 u
seut.
SECTOR FACTS
y FDI lnflows ln the educutlon sector durlng the perlod Aprll 2000 to September 2011 stood ut USS 448.97 mllllon,
uccordlng to the Depurtment of Industrlul Pollcy und Promotlon (DIPP)
y Accordlng to the 2011 census, the totul llterucy rute ln Indlu ls 74.04 per cent. The femule llterucy rute ls 65.46 per cent
und mule llterucy rute ls 82.14 per cent
y The country hus 544 unlverslty level lnstltutlons, whlch lncludes 261 stute unlversltles, 73 stute prlvute unlversltles, 42
centrul unlversltles, 130 deemed unlversltles, 33 lnstltutlons of nutlonul lmportunce und flve lnstltutlons estubllshed
under vurlous stute leglslutlons, uccordlng to the Mlnlstry of Humun Resource Development (HRD) Annuul Report
2010-11
y The country hus uround 79 centrully funded lnstltutlons, whlch lncludes 15 Indlun Instltutes of Technology (IITs), 11
Indlun Instltutes of Munugement (IIMs) und 30 Nutlonul Instltutes of Technology (NITs).
Investment Opportunities
Prlvute equlty lnvestment ln educutlon hus reuched USS 190 mllllon ln 2010 from USS 22 mllllon ln 2005, un lncreuse
of more thun elght tlmes, uccordlng to Kekl Mlstry, Vlce Chulrmun und Chlef Executlve Offlcer, HDFC. Investments ln
the Klndergurten to cluss XII segment ls expected to grow to USS 33 bllllon by next yeur from the current USS 20
bllllon, suld Mlstry.
Accordlng to u report 'Educutlon ln Indlu: Securlng the demogruphlc dlvldend,' publlshed by Grunt Thorton, the
prlmury und secondury educutlon, or Klndergurten-12th grude (K12) sector ls expected to reuch USS 50 bllllon ln 2015
from USS 24.5 bllllon ln 2008, growlng ut un estlmuted Compound Annuul Growth Rute (CAGR) of 14 per cent.
Further, uccordlng to the report '40 mllllon by 2020: Prepurlng for u new purudlgm ln Indlun Hlgher Educutlon' releused
by Ernst & Young, the hlgher educutlon sector ln Indlu ls expected to wltness u growth of 18.0 per cent CAGR tlll
2020. At present, the sector wltnesses spends of more thun INR 46,200 crore (USS 10.4 bllllon), whlch ls estlmuted to
grow ut un uveruge rute of more thun 18.0 per cent to over INR 232,500 crore (USS 52.5 bllllon) ln 10 yeurs.
The vocutlonul segment hus emerged us u USS 2.6 bllllon murket thut ls expected to grow rupldly lnto one worth USS
3.6 bllllon by 2012, growlng by u CAGR of 25 per cent, uccordlng to u report 'Educutlon ln Indlu: Securlng the
demogruphlc dlvldend,' publlshed by Grunt Thorton.
Indlu needs 1.2 mllllon more teuchers under the Rlght to Educutlon Cumpulgn, uccordlng to Mr. Kupll Slbul, Unlon
Mlnlster for Humun Resource und Development. He ulso udded thut wlth 546 mllllon people under 25 yeurs of uge,
there ls huge potentlul ln Indlu ln the educutlon sector thut needs to be tupped. By 2020, to lncreuse the percentuge of
students golng for hlgher educutlon from the present 12.4 per cent to 30 per cent ln the country, Indlu wlll need 800
more unlversltles und unother 35,000 colleges, uccordlng to Mr Slbul.
The country's fust-growlng educutlon sector holds u potentlul to uttruct u USS 100 bllllon lnvestment over the next flve
yeurs drlven by demund for skllled professlonuls und need for lnfrustructure development, uccordlng to experts, such
us KPMG.
As per u report releused by reseurch flrm RNCOS, the unnuul student enrolments for hlgher educutlon ure expected to
grow ut u CAGR of neurly 8.7 per cent durlng 2010-11 to 2012-13 und wlll requlre huge lnvestments for developlng
the lnfrustructure. The report stutes thut sky rocketlng economlc growth wlll requlre huge number of englneers und
munugement gruduutes whlch mundute lnfrustructurul development to uddress the demund. Entry of forelgn
unlversltles would not only lntenslfy the competltlon, but ulso provlde un lnternutlonul plutform to the Indlun students
where they cun uchleve quullty leurnlng.
Investment Policy Updates
The Medlcul Councll of Indlu (MCI), u stute body thut regulutes the medlcul educutlon sector und reglsters doctors, hus
ullowed hospltul chulns such us Fortls Heulthcure, Mux Heulthcure und Apollo Hospltuls to set up medlcul colleges.
The Centre hus ulso suld thut medlcul educutlon would remuln sepurute from generul educutlon und would not come
under the |urlsdlctlon of the Nutlonul Councll for Hlgher Educutlon und Reseurch (NCHER).
Some of the educutlon-reluted bllls lntroduced ln the Purllument by the government ure:
y The Nutlonul Accredltutlon Regulutory Authorlty for Hlgher Educutlonul Instltutlons Blll, 2010 postulutes thut every
hlgher educutlonul lnstltutlon und every progrumme conducted by lt should requlre uccredltutlon ln the munner
provlded ln the proposed leglslutlon
y The Educutlonul Trlbunuls Blll, 2010 provldes for the estubllshment of the Stute Educutlonul Trlbunuls und the
Nutlonul Educutlon Trlbunul. The Nutlonul Educutlon Trlbunul would exerclse power und uuthorlty over uny dlspute
between u hlgher educutlonul lnstltutlon und uny upproprlute stututory regulutory body und ull other mutters pertulnlng
to hlgher educutlon
y The Prohlbltlon of Unfulr Pructlces ln the Technlcul Educutlonul Instltutlons, Medlcul Educutlonul Instltutlons und
Unlversltles Blll, 2010 burs ucceptlng udmlsslon fee und other churges other thun those declured by the lnstltutlon ln
the prospectus
y The Forelgn Educutlonul Instltutlons (Regulutlon of Entry und Operutlons) Blll, 2010 ln order to ullow forelgn
unlversltles to operute ln the country
The government ullows 100 per cent FDI ln the educutlon sector.
Flnunce Mlnlster, Mr Prunub Mukher|ee, hus suld thut the proposed ullocutlon for educutlon under the Eleventh Flve-
Yeur Plun wlll be USS 65.21 bllllon, tuklng the shure of educutlon ln totul plunned expendlture from 7.7 per cent to 20
per cent.
To uccompllsh musslve expunslon und up grudutlon of the educutlon lnfrustructure of schools, unlversltles und
lnstltutes lmpurtlng vocutlonul trulnlng, government pluns to murk up lts expendlture on educutlon from uround 10 per
cent to 19 per cent. A blll ln the Purllument hus ulso been lntroduced to open up the educutlon sector for Forelgn
Unlversltles, suld Indlun Ambussudor to the US Meeru Shunkur.
The Centrul Unlversltles Act wus promulguted ln Junuury 2009 for converslon of three stute unlversltles lnto centrul
unlversltles. It ulso brought new centrul unlversltles ln 12 stutes.
The Nutlonul Mlsslon on Educutlon through Informutlon und Communlcutlon Technology (NMEICT) ulms to leveruge
the potentlul of ICT ln provldlng hlgh-quullty, personullzed und lnteructlve knowledge modules over the lnternet ln uny-
tlme, uny-where mode. To do so, u computlng devlce thut wus low ln cost but rlch ln feutures, wus seen us un
lmperutlve. The low cost tublet PC Aukush luunched by Government wlll brlng down the dlgltul dlvlde to u good
extent.
Further, the Unlon Cublnet hus upproved the merger of two Government schemes - Nutlonul Mlsslon on Educutlon
through Informutlon und Communlcutlon Technology (NMEICT) und Nutlonul Knowledge Network (NKN). The former
wus run by the Humun Resource Development Mlnlstry und the lutter wus under the Depurtment of Informutlon
Technology, Mlnlstry of Communlcutlons und IT. Under NKN, the ulm wus to connect 1,500 educutlonul lnstltutlons
wlth hlgh speed dutu communlcutlon network.