India today hosts the world’s second-largest higher education system. While the Gross Enrolment Ratio (GER) has steadily risen to 28.4%, the real question facing policymakers and university leaders is no longer access alone, but outcomes, how effectively institutions are preparing learners for an economy being reshaped by AI, automation, sustainability imperatives, and innovation-led growth. ETEducation has consistently highlighted that nearly 50% of Indian graduates require significant reskilling before becoming industry-ready, underscoring the disconnect between classrooms and the workplace.At the same time, India’s R&D spending remains below 1% of GDP, far lower than global innovation leaders, even as the country aspires to position itself as a global knowledge and innovation hub. Structural reforms under NEP 2020, proposals such as the Higher Education Commission of India (HECI), and a renewed focus on industry-aligned skilling and research signal intent, but execution now rests heavily on institutional leadership.

In an exclusive conversation with ETEducation, Swati Munjal, President of BML Munjal University, offers a grounded and future-oriented perspective on what it will take to move Indian higher education from scale to strength. Drawing from her deep engagement with industry-linked education models, Munjal speaks candidly about meaningful academia–industry integration, regulatory reform, applied research, and the urgent need to shift beyond rote learning to cultivate ethical leaders, innovators, and problem-solvers.

In this conversation, she outlines how universities can evolve from degree-granting institutions to engines of innovation, and what reforms are most critical if India is to transition from being a talent-supplying nation to a global innovation powerhouse. Here is an edited excerpt:

1. You have consistently advocated deeper industry–academia collaboration. What does meaningful integration look like beyond internships and guest lectures?

Indeed, industry-academia collaboration is a need of the hour. When we say meaningful integration, we are looking at attempting to resolve the disconnect between what is learnt in academic circles and what is practised or needed in industry. This can come from co-creating curriculum, co-owning research agenda, and even solving live industry problems within classrooms and labs. Real-world problems cannot be solved in isolation. Issues are mostly multidisciplinary in nature and need academia and Industry to come together to solve them.

2. The proposed Higher Education Commission of India (HECI) aims to replace multiple regulators with a single unified body. How transformative could this reform be for India’s higher education ecosystem?

The proposed Higher Education Commission of India (HECI) has the potential to be a foundational and transformative reform for India’s higher education ecosystem. By replacing multiple overlapping regulators with a single unified body, it can significantly reduce bureaucratic complexity, duplicity, and policy confusion that currently fragment academic governance. A streamlined regulatory architecture would enable faster decision-making, clearer accountability, and more coordinated national action, allowing institutions to move away from excessive compliance burdens and instead focus on quality, innovation, and measurable learning outcomes.

3. From a university leadership standpoint, how might streamlined regulation enable faster expansion, innovation, and global competitiveness?
From a university leadership standpoint, streamlined regulation can be a powerful enabler of speed, innovation, and global competitiveness. Clarity in the rules of the game ensures that expectations and deliverables are well defined, reducing ambiguity and risk in institutional decision-making. Today, many universities face delays and uncertainty in launching new programs, onboarding global faculty, or forging international partnerships due to layered approvals and inconsistent regulatory interpretations.

A more unified and progressive regulatory body could shift the system from permission-seeking to performance-driven governance, encouraging universities to design industry-integrated, contemporary, and globally relevant programs. With greater acceptance and hopefully active encouragement of such innovative proposals, institutions can redirect leadership bandwidth and resources away from procedural compliance toward academic excellence, research, global collaborations, and student outcomes, thereby strengthening India’s position in the global higher education landscape.

4. India aspires to be a global knowledge and innovation hub, yet R&D investment remains limited. What structural changes are needed to unlock private-sector participation in academic research?

There are two parts to this question. First, in terms of absolute numbers, the R&D investments have increased and witnessed better utilization too. For FY25, India allocated Rs 2,393 crores, of which Rs 2,187 crores were utilized – this represents 90% utilization towards science/technology, innovation, space technology, and the quantum mission, among others. As a percentage of GDP, the numbers need improvement, as they have remained around 0.64 to 0.66% since the pandemic era.

Secondly, when we talk about R&D, we often discount the role of industry and private institutions, because getting credible numbers from these sectors can be quite complex. Our numbers do not incorporate the intellectual powers of Unicorns, the newer AI players, private institutions, and their patents, and their cumulative contribution to the GDP.

Having said that, there needs tobe clearer IP frameworks, tax incentives for industry-funded research, and mechanisms that allow universities and companies to jointly commercialise outcomes. Doing so would also offer us numbers to measure the risks and rewards.

5. Industry increasingly seeks graduates who are creators, critical thinkers, and ethical leaders. Why has rote learning persisted for so long, and what will it take to finally move beyond it?

The shift away from rote learning toward developing ethical leaders and critical thinkers has been a long-standing aspiration in Indian education, but rote practices persisted largely because they were structurally convenient rather than educationally effective. Examination-centric systems, content-heavy curricula, and regulatory emphasis on syllabus completion historically rewarded memorisation over inquiry, judgment, and creativity.

Moving beyond rote learning will require a systemic shift, not isolated reforms. This includes redesigning curricula around real-world problems, pedagogies promoting active learning, adopting assessment models that value application, reflection, and judgment, and empowering faculty to act as learning designers rather than content transmitters. Equally important is regulatory and institutional courage, i.e. to reward experimentation, accept diverse learning pathways, and align incentives with outcomes such as critical thinking, creativity, and responsible leadership. Only when purpose, pedagogy, and policy move in the same direction will higher education truly produce graduates who are creators, critical thinkers, and ethical leaders.

Swati further added, “Theoretical knowledge without applied learning is an inefficient approach to cultivating talent. Enhanced stipends and government subsidies covering a higher percent of apprentice costs in the hinterlands over metropolitan locations could motivate students as well as employers. Additionally, apprentice plans that enable universities with institutional incentives could facilitate local industry networks.”

6. How can universities cultivate inquiry, entrepreneurship, and leadership mindsets at scale — not just among a few elite cohorts?

On a macroscopic level, many universities have already influenced the mindset. Subjects such as entrepreneurship, for instance, are not just taught at B-schools but are increasingly being taught at undergraduate courses. So, the mindset change has already started, but some Universities have been successful in scaling models. Many of them have done it by embedding experiential learning and offering interdisciplinary projects, which cultivates collaboration and inspire students to search for solutions to solve real-world challenges. At BMU, we have been able to integrate the theory and practicality of Entrepreneurship by setting up an institute of innovation and entrepreneurship (I2E), purpose of which is not only to teach entrepreneurship but to work closely with the Incubator for encouraging entrepreneurial ideas on and off campus.

7. If India is to realise its economic and global ambitions over the next decade, what are the three most urgent reforms needed in higher education?
If India is to realise its economic and global ambitions over the next decade, three reforms in higher education are especially urgent.

First, regulatory simplification. A streamlined, outcome-oriented regulatory framework can reduce institutional friction, enable faster academic decision-making, and allow universities to focus on quality, innovation, and student success rather than procedural compliance. Clear and consistent regulation is essential for institutions to respond swiftly to emerging technologies, global collaborations, and industry needs.

Second, the creation of deep, industry-aligned research ecosystems. India must move beyond fragmented research efforts toward sustained collaboration between universities, industry, and government. This includes co-funded research, shared infrastructure, clearer intellectual property frameworks, and pathways for commercialisation, ensuring that academic research translates into real economic and societal value.

Third, curriculum reform that prioritises skills, ethics, and innovation over content-heavy instruction. Education must shift from information transmission to capability building—developing critical thinking, problem-solving, creativity, and ethical leadership. Curricula need to be interdisciplinary, experiential, and closely linked to real-world challenges so that graduates are not just employable, but adaptable and responsible contributors to a rapidly evolving global economy.

8. How do you see institutions like BML Munjal University contributing to India’s transition from a talent-supplying nation to a global innovation powerhouse?

This is not a single-entity-driven project but one where everyone contributes to ensuring the country’s emergence as a global powerhouse. At BMU, our objective is not just to produce graduates who create jobs, but enable these architects of tomorrow to rethink solutions. This can be done only through empowering students with strong industry partnerships or motivating them towards applied research. On a holistic level, we are setting a culture that values entrepreneurship, leadership, and influences societal impact.

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