$174.8 million Japan aid to IIT-Hyderabad

Japan will provide $174.8 million (around 870 cr) loan as development aid to the Indian Institute of Technology, Hyderabad (IIT-H), the biggest-ever foreign aid to an IIT, which experts said will have a leapfrog effect on the standard of higher education in the state and boost infrastructure.

Armed with the financial aid, IIT-H will erect nine state-of-the-art buildings, including a special technology centre, new academic blocks and a research park.

Authorities will also use some portion of the money to acquire lab equipment and officials said they would expand its current capacity and student strength from existing 1000 plus to more than 7,500 by 2018.

Many experts say the biggest hurdle in higher education sector in the country is shortage of trained faculty. IIT-H said the institute will increase the number of teachers to more than 750 by 2018, an increase from the over 100 teachers now.

That is not all, private companies will also get a chance to use the research and development laboratories inside the campus.

IIT-Hyderabad is getting a total loan of Rs 1,776 crore over phases, with the Indian government giving 15% of the amount and the rest coming from JICA ( Japan International Cooperation Agency) to be repaid over 30 years.

Experts said the loan from JICA, the first such aid for any IIT from a foreign country, could pave the way for more foreign investments in Hyderabad. The city is home to more than 400 engineering colleges, while the rest of the state has about 300 more, which makes it a favoured destination for foreign agencies, experts said.

"The talent pool is very exciting in Hyderabad and for Japan it is a very exciting market as they are looking at more and more investments in education," said professor G Haragopal, senior academic at the University of Hyderabad.

IIT officials said they were overjoyed that the deal has been formally announced. The institute has been functioning at a temporary campus in Medak, and further development will happen in the new campus spread across 200 acres. "We have a three-phased campus development plan and it will be a massive one," a spokesperson for IIT Hyderabad, said TOI.

Other experts said the aid to IIT is very significant and could also help the Congress government convince opposition and allies to pass the Foreign Educational Institutions Bill in Parliament, which has been pending for three years.

"The Japan agreement is boost for higher education in India and will definitely give a big boost to technology and development of institutions," CP Chandrasekhar, professor at the Centre for Economic Studies and Planning, Jawaharlal Nehru University, said from New Delhi.


Source: http://timesofindia.indiatimes.com/home/education/news/174-8-million-Japan-aid-to-IIT-Hyderabad/articleshow/20339820.cms