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- A total of 101 management institutes have applied for closure in the session 2017-18 due to vacant seats.
- AICTE officials have reported that the closure application will be accepted to ensure quality of education.
Management is one of those fields that has been severely affected by the low quality of education in India. As a result of this, 101 B-schools have applied for shutting down this year as they get very few or no takers at all for the MBA and PGDM programmes. There has been a rise in the number of closure applications received by AICTE from MBA colleges .
According to AICTE officials, the council is likely to accept all these applications for shut down . The maximum number of colleges that have applied for closure are from Uttar Pradesh. Following are the states with the maximum number of colleges that have applied for closure.
States with Maximum Number of B-Schools that have applied for Closure in 2017-18:
State | Number of MBA Colleges seeking Closure |
|---|---|
Uttar Pradesh | 37 |
Karnataka | 10 |
Maharashtra | 10 |
Haryana | 7 |
The AICTE official also stated that the demand for few MBA specializations has gone down, such as marketing, and it has also resulted in fewer MBA takers for such specializations. However, this is not the only reason. Drop in the economy of India and fewer jobs in the market have also affected admissions in B-schools across India. Check the number of MBA colleges that applied for closure in the last three years.
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Year-wise Number of B-Schools that have applied for Closure:
Year | Number of MBA Colleges seeking Closure |
|---|---|
2015-16 | 66 |
2016-17 | 76 |
2017-18 | 101 |
Although many of these colleges have voluntarily applied for shut down, some MBA colleges are being shut down as they have not been able to meet the required norms of education due to low fees and lack of funds . AICTE will have to close these colleges as they do not meet the specified criteria.
There are a total of 3,264 management institutes in India recognized by AICTE. After the closure of these 101 institutes, the total number of management seats available in India will drop down approximately by 10,000. Apart from this, some institutes have also decided to discontinue some management courses that will cut down an additional 11,000 seats.
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R Subrahmanyam, Secretary of Higher Education, MHRD, said that it is good that these institutes are voluntarily applying for shut down as they have not been performing well. Management institutes are not alone in the closure line as recently many engineering colleges have also applied for closure .
