Change in IIM fee structure unlikely

NEW DELHI: The RC Bhargava committee, appointed by the government to look into the overall functioning of the Indian Institutes of Management, is unlikely to recommend lowering of fees in the institutes.

After visiting various IIMs, Bhargava said on Monday that the committee had finished its tasks about administrative system of these institutes as well as excellence.

There have been repeated demands that IIMs should lower their fee. Bhargava, however, said the committee is of the view that fees should be finalised by the boards of each IIM. "What is the use of the board if we have to decide on the fee structure," Bhargava said. "The basic thrust of the committee is to study and suggest the roadmap on how to create excellence and expand management education," he said.

He also said, "The IIMs are giving the required training to the people no doubt. But we will examine if they need to expand their activities and perform a larger role to impart required skill to people and enhance the human capital."

IIMs have already hiked their fees from this year. IIM-Ahmedabad had announced an increase of 175% in the fees of its first year post-graduate programme from Rs 2 lakh to Rs 5.5 lakh. Similarly, other IIMs have increased their fees.

The review committee would submit its report next month, Bhargava said. The panel is studying the functioning of IIMs and will recommend the changes required in view of the demands of the growing economy. The committee will make also make recommendations on how to attract funds from abroad. "IIMs have to raise funding from outside. In the US, the B-schools get funding from corporates. The IIMs can look for similar things here," he said.

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