EdTech Hopes to Thrive in Budget 2024: Increased Investment, Tax Breaks, and AI Focus Key Expectations

The interim union budget for 2024, scheduled to be presented by Union Finance Minister Nirmala Sitharaman on February 1, is anticipated to have a special focus on EdTech platforms and digital learning. Education experts expect significant attention to these areas as they represent the way forward in the evolving educational landscape. Reports suggest that the country's EdTech market is poised for substantial growth from 2023 to 2028, with a compound annual growth rate (CAGR) of 13.7 percent.

Last year, the budget allocation for the education sector was Rs 1,12,899 crore, and experts are looking for a noteworthy allocation this year.

Expectations from EdTech Experts

Kavita Sharma, Co-founder and CEO, Ziyyara Edutech:

"In the upcoming Union Budget for 2024, ed-tech startups can anticipate substantial support for the educational sector. The government’s commitment to the National Education Policy (NEP) 2020 signals a clear intent to drive reforms and embrace digital education. As the government continues its proactive approach witnessed in the past year, ed-tech startups can look forward to a budget that aligns with the evolving needs of the sector, contributing to the nation’s educational growth and competitiveness."

Dinesh Kumar Poobalan, CEO and CTO, Greatify:

"We expect a more robust system to be developed, investing in professional development and training opportunities to help us effectively implement blended learning methods in the classroom and utilize technology-enabled infrastructure. We also expect a decrease in Goods and Services Tax on resources for offline and online education providers."

Amit Kapoor, Co-founder and CEO, Eupheus Learning:

"As we await the upcoming budget, a thoughtful GST policy, coupled with incentives, will empower EdTech companies like ours to innovate and create tools and techniques for schools to implement these key mandates."

Prabhat Pankaj, Director, Jaipuria Institute of Management, Jaipur:

"The use of AI in education and further promotion of digital learning is expected to be the highlight of the upcoming budget. A well-designed teacher training module will be the need of the hour. Private institutions are also looking up to a better and fair deal in terms of regulatory ease and government funding for research. The education system also needs to be modernized to attract more international students, requiring substantial investments in higher education."