Preparing India’s higher education sector for the next decade: Lessons from 2025 and priorities for 2026

2025 was a significant year for higher education in India. Execution of the New Education Policy moved to the next level, AI’s rapid growth led to questions from students and employers about the future of jobs and the role of universities, and international universities opened campuses in India. We are headed for an exciting decade in which the march of technology, evolution of curricula and growing competition will play key roles.

There are four important lessons from 2025.

One, a forward-looking agenda can only succeed with total commitment from all stakeholders. NEP 2020’s tenets – four-year undergraduate programmes, multidisciplinary learning, flexible education pathways and focus on research – started becoming visible across the board in 2025. However, several universities have either faced internal resistance or lack execution capability.

Two, what employers and students want is evolving rapidly. A 2025 NASSCOM survey showed that 79% of employers prioritise applied skills over theoretical knowledge. Also, students have started expecting flexibility, experiential learning and global exposure. The growing use of LLMs has created new challenges relating to teaching methods, learning rigour and knowledge evaluation.

Three, external factors have created a window of opportunity. Visa uncertainty and hardening views on immigration in some Western higher education destinations can help Indian universities to retain Indian students seeking to go abroad and to attract Indian faculty working overseas.

Four, digital instruction and the access it creates have the potential to transform education. India added more than 3 million hybrid learners as blended teaching, AI-enabled content delivery and digital assessments grew rapidly. Platforms such as ABC (now holding over 9 crore credits) have strengthened interoperability. IGNOU reported a 30% jump in online enrolments, and several private universities expanded virtual labs and simulation-based learning environments.

Responsive institutions have put in efforts to reimagine the student experience and focus on employability. At Ashoka University, in addition to their rigorous academics, students receive training in different aspects of career preparation as well as 21st-century skills through a formal programme. There is also a heavy emphasis on applied learning and industry internships which later result in Pre-Placement Offers (PPOs). Many universities are supporting portfolio building and alumni mentorship in addition to offering micro-credentials and integrating employability modules into core programmes.

Among 2025’s encouraging trends was the strengthening of India’s research and innovation landscape. Some institutions have launched new quantum research labs and others have enhanced publication output, an important measure for university rankings. Many universities are actively nurturing student startups, with some taking a stake in the IP being created. IIT Bombay has recently launched BharatGen, its own AI company. Ashoka University deepened its research footprint by supporting original research projects across computer science, biology, physics, economics, data sciences, public policy, archaeology and the environment among others. Faculty collaborations with global institutions such as the University of Pennsylvania, Sciences Po, University of Toronto, IMD and others expanded global research potential and visibility. It also opened up a Summer Research Programme to visiting students from overseas.

Internationalisation continued to grow, with more Indian universities approved for dual, joint and twinning programmes with global partners. Several foreign universities announced that they are entering India, and some have already opened campuses.

Another important area which grew in 2025 was governance reforms. NAAC’s new accreditation cycle placed stronger emphasis on governance transparency, student satisfaction and institutional performance. Over 150 universities adopted real-time academic dashboards for learning outcomes and research.

To succeed in this emerging scenario, universities will need to invest in six strategic priorities.

First, dynamic curricula and a holistic student experience, equipping students for a transforming world;

Second, building research capacity so that they can do original research in world-class labs.

Third, AI-integrated learning including adaptive learning, virtual modules, individual attention to student needs and predictive analytics.

Fourth, global competitiveness through institutional partnerships, high-quality teaching and aiming higher in terms of original research output.

Fifth, diversified funding sources including endowments, alumni, industry partners and research grants.

And sixth, stronger governance with real-time data reporting and continuous quality improvement.

In conclusion, the momentum created in 2025 offers India a unique opportunity to build a future-ready higher education system. If Indian universities invest strategically in research, technology, governance and student success while aiming at global standards, India can definitely emerge as a leading knowledge economy in the decade ahead. 

(Views are personal; the author is Vice President, External Engagement, Ashoka University)