India faces major higher education expansion challenge to meet 2035 enrollment target: Report

India’s higher education system is heading into a period of major strain as new estimates show the scale of expansion required to meet national goals set under the New Education Policy 2020.

The latest analysis says the country will have to bring more than 86 million students into colleges and universities by 2035 to reach a Gross Enrollment Ratio of 50%, a target that demands faster growth than the system has ever managed.

A report released by the Confederation of Indian Industry and Grant Thornton Bharat, titled “Continuous Improvement Journey of Higher Education Institutions: Approaches and Practices Shaping the Future of Learning,” projects that higher education enrollments must increase by nearly 85% in the coming years.

To make that happen, capacity would need to grow at about 5.3% annually. The study notes that universities are already grappling with limited infrastructure, faculty shortages, and rising expectations from students, making the required scale-up especially challenging.

The report says the current dependence on physical campuses cannot support the level of expansion ahead.

It states that “traditional brick-and-mortar institutions will remain foundational, but they alone cannot meet this scale,” urging policymakers to adopt a wider mix of delivery formats such as digital universities, online credit-based programs, and virtual learning systems that can grow without proportionate construction of new buildings.

These recommendations are based on insights drawn from multiple roundtables held with northern universities and further secondary analysis.

One of the most significant shifts highlighted in the study is how institutions are rethinking student readiness for employment.

With nearly 40% of essential workplace skills expected to evolve by 2030, colleges and universities are designing programs that embed employability from the outset rather than treating it as an outcome.

This includes micro-credentials, modular learning pathways, stronger industry partnership models, and assessment tools powered by AI, all intended to ensure graduates are prepared for a rapidly changing job market.

The report also points to rising operational pressure. Changes in technology, global exposure, and student expectations have pushed institutions to speed up internal processes.

Workflow automation, participatory governance, and flexible decision-making structures are increasingly becoming necessary, with the report describing the situation as an “operational imperative” that demands faster adaptation instead of gradual reform.

In its broader conclusion, the study says the national conversation around higher education is no longer limited to improving access.

“The dialogue now is shifting from access only to also include scale and quality,” it highlights, underscoring the need to both expand and upgrade the system at the same time.

Without this dual focus, the report cautions, India risks falling short of converting its young population into a competitive workforce.

The next decade will determine whether the system can reinvent itself quickly enough.

The report warns that India’s demographic advantage will only translate into economic strength if higher education institutions can expand capacity, improve quality, and modernize delivery at a pace that matches the demands of the NEP 2020 vision.