Delay and Denial: Issues with Research Funding in Higher Education Institutions

Introduction 

India’s investment in research and development (R&D) has been slow, decreasing from 0.82% of its GDP in 2009-10 to 0.64% in 2020-21. As noted by the Department of Science and Technology in a 2023 report, most developed countries spend more than 2% of their GDP on R&D. However, India’s R&D investment has been lower than that of Germany (3%), Japan (3.3%), USA (3.5%), and China (2.4%).

Gross expenditure on R&D is driven mainly by the central government, state government, private and public sector industries, and higher education institutions (HEI). The significant expenditure on research in India is incurred by the public sector. In the Union Budget 2025-26, in order to drive private sector investment in research and innovation, the amount allocated to the Department of Science and Technology (DST) increased from INR 8,029 crore to INR 28,508.90 crore. While the budget stressed the role of the private sector in R&D and academia, the issues pertaining to research in HEIs remain unresolved. Going forward, the question arises on the measures that need to be taken to ensure effective implementation of the budgetary allocations, keeping in mind the need for industry-academia cooperation, higher research impact, and more interdisciplinary collaboration. 

India must address the specific challenges that it faces in HEIs in order to advance its research landscape. Systematic issues such as delays in the disbursement of funds, excessive procedural barriers, bureaucratic inefficiency, and multiple barriers to fieldwork all hinder the development of research in HEIs. This article attempts to briefly identify how these primary concerns make research unsustainable for scholars, especially with regard to the accessibility of funding. The variations in the research impact of public and private education institutions, and recent developments in the research ecosystem are also discussed.

Research in Higher Education Institutions (HEIs)

The National Education Plan (NEP) was released in 2020 to restructure the education system in several ways. The NEP 2020 also identified the need for greater emphasis on research at the university and college levels, and the lack of peer-reviewed research funding as a major hurdle in the Indian higher education system. From 2020-2024, funding for scholarships and research fellowships in HEIs had declined by over INR 1500 crore. In the Union Budget 2025, allocations for scholarships for Other Backward Castes (OBCs) and Economically Backward Classes (EBCs) significantly increased, but the funding for multiple scholarships for minority and tribal students was reduced, such as the National Fellowship and Scholarship for Higher Education of Scheduled Tribe Students, the National Overseas Scholarship Scheme, the Pre-Matric Scholarship for Minorities, the Post-Matric Scholarship for Minorities, the Maulana Azad National Fellowship for minority students, among others. The funds for the National Fellowship and Scholarship for Higher Education of Scheduled Tribe (ST) Students, which was provided to 750 fresh ST students every year, witnessed a 99.99% reduction in funding (from INR 240 crore to INR 0.02 crore).

In terms of research impact, although India’s focus on higher education in research has progressed in the fields of technology and data science, contributing to around 5% of global research publications in 2019 (SCOPUS database), the country has yet to catch up to global leaders. In 2020, India was ranked third in scientific publication output globally, with an increase in research output in publication from 60,555 in 2010 to 149,213 in 2020. 

The majority of research publications in India are produced by centrally funded institutions such as IITs, CSIR, and central universities. However, the number of private universities in India has increased during the last decade, and there has been a push for increased research and development initiatives in private institutions. A study by Singh et al. on the institutional shifts in research output noted that 40 institutions that were among the top 100 contributors to research output from 2004-13 were replaced by 18 private universities, 9 NITs, 5 IITs, 2 IISERs and a few centrally funded institutions from 2014-23. Among the institutions which lost their position were 18 state universities, and 11 CSIR labs. According to the National Institutional Ranking Framework (NIRF) 2024 rankings, among the top 100 institutions, IITs contributed to 24.29% of research publications, with other publicly funded institutions producing around 30%. The contribution of private universities has increased through the decade, with 23.48% publications by private education institutions and 6% by state private universities. Although the trends denote an increase in research output from private universities, they could also be indicative of barriers to or decline in research in the existing public institutions. 

In the case of social science research, universities in the United States and the United Kingdom continue to excel, showcasing the need for a healthy research environment as well as strong industry ties. NEP 2020 also highlights the need for technical education that engages with other fields. The various disciplines in the social sciences, and the research conducted in these fields, form the basis of the knowledge production through which social policy is shaped. Data collection and fieldwork in India is riddled with barriers, such as lack of accessibility, safety concerns, and delayed funding. These issues are further exacerbated when conducting research in rural India. Social Science Research in India: Status, Issues, and Policies, published in 2017, states the need of a research ecosystem for improved public policymaking in India. Problems with funding, infrastructure, and data collection continue to persist. 

While an increase in the budget allocation for R&D is a step in the right direction, issues with irregularities in the utilisation of funds that have already been allocated also prevail. For instance, in 2024-25, INR 1908 crore was allocated in student financial aid, and only INR 1282 crore was utilised. However, INR 505 crore was allocated to the Digital India E-learning programme and INR 1595 crore was spent in the same period. 

Concerns for Researchers in HEIs

Procedural barriers

Bureaucratic delays and an extensive, and often cumbersome, process of verification lead to further delays in the disbursement of stipends to scholars, resulting in more arrears. For instance, on 30th September 2024, a Jawaharlal Nehru University (JNU) delegation reached out to the UGC, seeking clarifications for “ongoing issues surrounding the irregular and delayed disbursal of fellowships” and “clear answers regarding the nature of the funding, the conditionalities attached to it, and the reasons for the delays.” 

Widespread Phenomenon

Multiple central universities have reported the same issues with regard to the disbursement of funds. Research scholars have also reported cases wherein their claims have been approved, yet the stipend remains pending or is delayed several months. In 2024, under the National Fellowship for Other Backward Classes (NFOBC), several research scholars faced academic setbacks and financial instability due to issues with stipend disbursement. The All India Research Scholars’ Association (AIRSA) also raised the issue, writing to the Ministry of Social Justice and Empowerment. Similarly, students from Jammu and Kashmir enrolled under the Prime Minister Special Scholarship Scheme (PMSSS) had allegedly faced a delay in fund disbursement under the All India Council for Technical Education (AICTE).

Impact on Research

Delays in disbursement also impact fieldwork, quality of research, and academic performance. For research scholars, this can affect their quality of life and have a significant negative impact on their work. In the past couple of years, scholars have also reportedly gone into debt due to stipends not being disbursed. Access to infrastructure and tools that can support their research is also crucial; this is also facilitated through efficient funding. Increased funding for research could also incentivize scholars and ensure competitiveness in the field. 

Research Stipend

There has been dissatisfaction amongst scholars due to stipend hikes, or the lack thereof. In the case of non-NET fellowship, the stipend has remained unchanged since 2012 (INR 8000). In comparison, the monthly stipend for JRF and SRF, which was INR 12,000 and INR 14,000, respectively, in 2007, has been subsequently increased to INR 37,000 and INR 42,000, respectively. In 2023, students at the Banaras Hindu University had staged a protest demanding an increase in stipend for non-NET research fellows. Meanwhile, the hike in the JRF stipend from INR 31,000 to INR 37,000, which has been termed ‘long overdue’ according to the former director general of the Council of Scientific and Industrial Research (CSIR), was also met with dissatisfaction.

Mismanagement of Funds

The responsibility of the institutions in the process of disbursement of funds, through fellowships or scholarships, cannot be ignored.There have been instances of universities not completely utilizing their funds. In 2017, CSIR decided to remove the role of universities for fund disbursement, and began paying scholars directly, although the move was followed by further issues with the direct transfer scheme. 

There have been various instances of funds being withheld from scholars by their universities.  In the case of the Himachal multi-crore scholarship scam, students (of SC, ST, and OBC categories) were allegedly asked to pay money in order to avail scholarships. In Uttar Pradesh, 22 institutions were involved in a scholarship scam likely involving INR 75 crore or more, meant to facilitate the education of students from minority communities, economically weaker sections, or persons with disabilities. In these instances, while the funds have been released by the Department of Education, faulty verification processes or fraudulent claims make it impossible for the policies to be effectively implemented.  

Future of Academic Research and Development

While the UGC is rolling out reforms based on the NEP 2020, certain states, such as Tamil Nadu, are considering the formation of their own State Education Policy. Although the role of the UGC is to regulate and maintain standards in HEIs, it is unclear how the decision by states to opt out of the NEP and establish their own SEP’s might impact the UGC. Regardless, universities, including state universities, must work in tandem with government sources and ensure industry-academia collaborators, to ensure progress in the realm of academic R&D.

Following an NEP recommendation, the Anusandhan National Research Foundation (NRF) was established in February 2024, intending to ‘democratise’ research and research funding, as per the Minister of Science and Technology. The Union Government has estimated a five year budget for the NRF at INR 50,000 crore, out of which INR 10,000 crore will be from the central government, and INR 36,000 crore from the private sector. The Budget 2025 states that it aims to ‘operationalize the Anusandhan National Research Fund for basic research and prototype

Development’, and to set up a ‘mechanism for spurring private sector-driven research and innovation at commercial scale with a financing pool of INR 1 lakh crore in line with the announcement in the interim budget.’ Furthermore, initiatives like the Prime Ministers Research Fellowship (offering 10,000 fellowships, according to Budget 2025) will incentivise researchers in the country. 

Addressing the barriers to policy implementation in India’s R&D landscape, specifically in higher education institutions, is essential for fostering a more sustainable research ecosystem. For instance, the budget for research related initiatives—such as the National Initiative for Design Innovation, Startup India Initiative in Higher Educational Institutions, Unnat Bharat Abhiyan, Implementation of the IMPRINT Research Initiative, and more—dropped from INR 355 crore to INR 327 crore. However, only INR 74.5 crore  was utilised in the last fiscal year. This is indicative of a gap between policy and implementation, leading to further deceleration in R&D in India.

In the case of higher education institutions, ensuring stability for research scholars and developing industry-academia cooperation must be a crucial part of this venture. Furthermore, optimizing funding strategies and ensuring policy implementation is necessary for R&D in India to have a meaningful impact.


Adrita Choudhury

Adrita graduated from the English and Foreign Languages University with a master’s degree in English. Since then, she has worked as an academic editor and an ELT editor in the publishing industry. She enjoys reading books and comics, writing, painting and baking.

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