The large allocation for higher education in FY27 national budget is undoubtedly a positive step. There is no alternative to investing in higher education for a country’s sustainable development, a knowledge-based economy, and the cultivation of skilled human resources. However, given the current reality of higher education in Bangladesh, a question naturally arises: will the benefits of this massive budget be enjoyed solely by public universities, or will private universities also be brought under its purview? If the benefits of state funding remain confined exclusively to public universities, there is a risk of creating a new form of disparity in the country’s higher education system.
Currently, a major portion of Bangladesh’s higher education system is driven by private universities. Due to limited seating capacity at public universities, a large number of students are compelled to enrol in private universities each year. The families of these students are also taxpayers of the country and contribute equally to the national economy. Consequently, completely depriving them of the benefits of state investment is not justifiable.
Private universities in Bangladesh have long been excluded from direct government funding. While public universities receive government funding and benefit from development projects and research grants, private universities mostly depend on student tuition fees and their own income. As a result, they fall behind in budget and policy support.
Disparity in Research and Development Funds: Research is the lifeline of higher education, and the greatest disparity lies within research and innovation. The lion’s share of the massive funds allocated for research through the Grants Commission goes to public universities. Yet, many private universities are also conducting research of international standards, strengthening their positions in various global indices based on international benchmarks. Despite this, they are frequently denied opportunities to participate in government research grants, innovative projects, or competitive research funding.
If support, such as research grants, laboratory development, teacher training, international collaboration, and student scholarships, is reserved only for public universities, the gap between public and private universities will continue to grow, hindering the overall development of higher education.
However, this does not mean the government must bear the operational expenses of private universities. Rather, research funds, innovation grants, student scholarships, and infrastructure development support can be provided through a transparent, competitive framework that allows both public and private universities to participate on the basis of merit. This will ensure the effective utilisation of state funds and elevate the standard of higher education.
Inequality in InfrastructurE Support: Similarly, the gap in building and facility development is clear. Turning a university into a fully equipped, modern learning centre needs building a permanent campus, modern labs, well-stocked libraries, tech-based classrooms, playgrounds, auditoriums, and other educational technology. Public universities get direct help from the development budget and big projects for these improvements. On the other hand, private universities have to pay for all these costs themselves. This puts a heavy financial burden on them, which eventually affects the students.
Big Deficit in Per-Capita Expenditure: Students at private universities do not get even a small part of the state financial support that public university students receive. Yet, students from both types of universities contribute equally to developing the country’s skilled workforce.
The Burden of Tax and VAT: Another important issue is the policy on Tax and VAT. Laws require private universities to work as non-profit institutions. However, proposals to charge tax and VAT on them come up from time to time, which adds extra pressure on student tuition fees. This hurts research, innovation, development work, and the investments needed to improve education quality.
Education is a basic public service. So, when government support is needed, adding extra financial pressure causes unfair treatment. Often, private universities are seen as businesses, which makes this discrimination worse. Since education is a public service, policies should encourage support instead of adding more financial burdens.
Disparity in Policy and Academic Opportunities: Private universities often fall behind in policy opportunities too. Education experts say that although many private universities contribute a lot to quality education and research, they do not get the same chances as public universities to run PhD programs, work on international research partnerships, or gain other academic benefits. As a result, the competition in higher education is weakened.
Limited Opportunities for Teachers & Students: With the national budget, public university teachers and students have access to many opportunities for higher education, training, and fellowships, both inside the country and abroad. Teachers and top students from private universities can join these opportunities but on a much smaller scale. This limits the full potential of developing skilled people.
an Integrated Higher Education Policy is Needed: The primary criteria for funding should not be a university’s ownership model, but rather the quality of its research, its innovative capacity, and its contribution to national development. If the development of national higher education is envisioned solely around public universities, the desired outcomes cannot be achieved. It is essential to build an integrated higher education framework that gives equal importance to both the public and private sectors.
Proposals to Eliminate Disparity: Formation of a National Research Fund. A centralised National Research Fund can be established to disburse grants based on research quality, innovative capacity, and national priorities, making no distinction between public and private universities. Researchers from both public and private institutions will be able to compete here on equal terms.
Low-Interest Loans for Infrastructure Development. Private universities can be provided with long-term, low-interest loans on easy terms for developing permanent campuses, laboratories, and technology-driven infrastructure.
Teacher Training & Knowledge Exchange Programs: Specific participation should be secured for private university teachers in state-sponsored teacher training programs, international seminars, and research initiatives.
Merit-Based Funding System.: Like in developed countries, a funding system should be introduced based on the quality of research, innovation, and contribution to national development, not on whether a university is public or private. Many countries do not make artificial divisions between public and private universities when funding higher education. Bangladesh also urgently needs an inclusive higher education policy that sees all universities as partners in national development.
End note: A large budget allocation for higher education is timely and commendable, but only becomes meaningful when it benefits the entire sector. If restricted to public universities, a significant segment will face discrimination and deprivation. Both public and private universities must be united under a coordinated, research-based, innovation-oriented system and a single development framework to ensure balanced distribution of opportunities and true development of higher education.
The objective of public investment should not be judged by university ownership; rather, it should focus on qualitative improvements in education, research excellence, and human resource development. To ensure the country’s economic recovery, enhance the country’s competitiveness in global markets, and build the knowledge-based leadership of future generations, the core philosophy of the budget should be: “The integrated transformation of security, knowledge, and human welfare.” It is through the realisation of this philosophy that building a skilled, innovative, self-reliant, and welfare-oriented Bangladesh is entirely possible.
The author is a university teacher and sustainable development activist.
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