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4. Establish 50 National Universities. We recommend the creation of 50 National
Universities that can provide education of the highest standard. As exemplars for the rest
of the nation, these universities shall train students in a variety of disciplines, including
humanities, social sciences, basic sciences, commerce and professional subjects, at both
the undergraduate and post-graduate levels. The number 50 is a long term objective. In
the short run, it is important to begin with at least 10 such universities in the next 3 years.
National Universities can be established in two ways, by the government, or by a private
sponsoring body that sets up a Society, Charitable Trust or Section 25 Company.
Since public finance is an integral constituent of universities worldwide, most of the new
universities shall need significant initial financial support from the government. Each
university may be endowed with a substantial allocation of public land, in excess of its
spatial requirements. The excess land can be a subsequent source of income generation.
Exceptions need to be made in existing income tax laws to encourage large endowments.
Further, there should be no restriction on the utilization of income in any given period or
in the use of appropriate financial instruments. And these universities should have the
autonomy to set student fee levels and tap other sources for generating funds.
The National Universities we propose shall admit students on an all-India basis. They
shall adopt the principle of needs-blind admissions. This will require an extensive system
of scholarships for needy students. Undergraduate degrees in the National Universities, in
a three-year programme, should be granted on the basis of completing a requisite number
of credits, obtained from different courses. The academic year shall therefore be
semester-based and students shall be internally evaluated at the end of each course.
Transfer of credits from one National University to another shall also be possible. An
appropriate system of appointments and incentives is required to maximize the
productivity of faculty in these National Universities. Strong linkages shall be forged
between teaching and research, universities and industry, and universities and research
laboratories. The National Universities shall be department-based and shall not have any
affiliated colleges.
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