Tamil Nadu education funding falls to 1.3% of GSDP from 3.92% in 25 years, says Anbumani

PMK president and Rajya Sabha MP Anbumani Ramadoss has alleged that Tamil Nadu's allocation for education, as a proportion of its economic output, has fallen to nearly one-third of its level 25 years ago. He also questioned whether government schools were being deliberately weakened to benefit private institutions.

In a statement on Saturday (August 8, 2026), he said the combined allocation for School Education and Higher Education had declined from 3.92% of the State's Gross State Domestic Product (GSDP) in 2000-01 to 1.30% in 2026-27. He noted that while ₹4,949 crore was allocated for education in 2000-01, the allocation in 2026-27 stood at ₹52,920 crore, against an estimated GSDP of ₹40.67 lakh crore.

To illustrate the impact of this decline, he pointed out that had 3.92% of the State's economic output been allocated to education this year, the sector would have received ₹1.59 lakh crore instead of the current allocation of ₹52,920 crore. The difference, he argued, amounts to a significant shortfall in funding for government schools and higher education institutions.

The GSDP ratio is a common metric used to assess the priority given to a sector in a State's budget. The decline from 3.92% to 1.30% implies that education spending has not kept pace with Tamil Nadu's economic growth. While the absolute allocation has increased more than tenfold, its share in the expanding GSDP has shrunk, reflecting a shift in budgetary priorities. Education experts often highlight this ratio as a key indicator of a government's commitment to public schooling.

The MP also linked the decline in funding to falling enrolment in government schools. Citing Central government data, he said enrolment in government schools fell from 75.52 lakh in 2015-16 to 43.03 lakh in 2025-26, while private school enrolment rose from 36.56 lakh to 62.03 lakh during the same period. This shift, he suggested, indicates a growing preference for private education. However, he cautioned that it may also reflect a weakening of the public schooling system due to inadequate resources, forcing parents to seek alternatives.

Anbumani urged the State government to increase education spending to at least 3% of the State's economic output and ensure that government schools have at least one teacher for every class. He emphasized that such investments are necessary to maintain the quality of public education and to uphold Tamil Nadu's historical commitment to social welfare. The State has long been recognized for its achievements in literacy and school education, but the recent trend of declining enrolment in government schools raises questions about the sustainability of this legacy.

The discourse over government versus private schools is not unique to Tamil Nadu. Across India, several States have seen a shift towards private education, with concerns over infrastructure, teacher availability, and quality of instruction in public schools. However, experts argue that a robust public education system is essential for ensuring equitable access, especially for children from economically weaker sections. In this context, the funding pattern of States becomes crucial.

As of now, the Tamil Nadu government has not responded to the allegations. The figures cited by the MP are based on official budget documents and Central government data, though the claims have not been independently verified by this publication. The issue is likely to be raised in the Rajya Sabha and the State assembly in the coming weeks, given the political significance of education as a public policy issue.