New Delhi: On Teacher’s Day, Alakh Pandey, founder and CEO of Physics Wallah, called on the government to reduce the Goods and Services Tax (GST) on education and advocated for edtech companies to function as non-profit entities.
In an exclusive interview with ANI, Pandey highlighted the need for greater government investment in education, noting that the current expenditure of 3-3.5 percent of GDP is inadequate when compared to many developed countries.
“Enhanced government funding could significantly advance the education sector. Additionally, the high taxation on education in India is problematic. Currently, education is taxed at 18 percent GST in India, whereas in China, the rate is just 6 percent, which also covers private education,” Pandey stated.
“The country spends only 3 to 3.5 per cent of its GDP on education, compared to Brazil, which invests more than us,” the speaker said, highlighting the flagrant underfunding of India’s educational system.
Comparing the Chinese educational system, Pandey proposed that “edTech businesses ought to function as nonprofit entities, imitating China, since healthcare and education ought to take precedence over financial gain. Few chief ministers in India have addressed school development and education-related concerns, demonstrating the politicians’ lack of attention to the subject. In India, education is not a top concern.”
In his remarks, Pandey also discussed and praised the New Education Policy (NEP), stressing the need of its proper implementation. “While the NEP is a beneficial policy, proper implementation is still desperately needed. It emphasizes useful abilities, concise instruction, and efficient implementation.”
He also pointed out the issue of a shortage of qualified teachers in India, attributing it in part to inadequate salaries. Pandey observed that teachers are earning between 6,000 and 10,000 per month, which is relatively low.
On Teacher’s Day, Pandey offered guidance to future educators, advising them to focus on quality and content in their teaching. “Aspiring teachers should aim to maximize each student’s potential. Teaching is a noble profession, but it is also demanding and should not be considered a fallback career option,” he concluded.
In response to inquiries concerning Physics Wallah’s success, particularly in light of the financial difficulties faced by many bigger edTech businesses, Pandey clarified that his platform has always placed an emphasis on education over profit.
“Revenue has never been my primary concern. Smaller edTech businesses have prospered, while many larger ones have struggled. I think that putting education before revenue is the secret to success. The three most important factors are the students’ feedback and sense of security, the advancement of their performance, and the gradual increase in the student body,” the speaker stated.
Regarding the role of technology in education, Pandey stated, “Technology should be a tool that enhances education, not the other way around. EdTech should empower education, not overshadow it. The primary focus must remain on the educational aspect.”
On Teacher’s Day, Pandey reminisced about his favorite teacher, Sohail Tayyab, who taught him physics in class 11 without charging any fees. Pandey attributed his success in clearing the IIT exam and founding his coaching center to his guidance and support.
Expressing his gratitude, Pandey shared, “Recently, I met him at an event and asked if there was anything more I should do. He responded that he always knew I would achieve something significant. I even took a picture with him while everyone else was trying to get a picture with me.”