Smart infrastructure: Catalysing India’s education transformation
This article is authored by Vivek Kumar Baranwal, chief business officer – education loans domestic business, Avanse Financial Services.
India can build a world-class education ecosystem through tech-enabled, inclusive infrastructure. Having a nurturing learning environment not only improves academic performance but also builds students’ confidence and curiosity, preparing them for a rapidly evolving world. The definition of a good education has been expanded beyond pedagogy and learning. It now includes robust infrastructure, thoughtful design and equitable access to essential facilities. The vast K-12 education ecosystem in India touches nearly 25 crore students taught by 98 lakh teachers across 14.7 lakh schools. The National Education Policy (NEP) 2020 has expanded access, reimagined education goals and improved inclusivity. For this policy to succeed appropriately, institutions must invest in smart, sustainable, and student-centric infrastructure.

NEP 2020 emphasises that infrastructure is a core enabler of holistic learning. Good infrastructure influences attendance and engagement in class and enables institutions to monitor and analyse learning outcomes. Both students and teachers are more motivated when they have access to innovative technology, reliable internet access, and inclusive design. Well-designed spaces make collaboration a reality, leading to greater engagement and improved outcomes in the long run. The value of infrastructure is so integral to an educational institution’s strategy that it should not be considered a peripheral investment but rather a core component of its growth. It helps an institution stand apart from the others in its peer set.
Learners and their parents now expect education to reflect the modern world. A 2024 survey highlighted that 87% of parents want greater technology in schools. They are looking for digital-first and experiential learning environments. This aligns well with the NEP 2020, which also directs educators to nurture innovation to build confidence among learners. The effort includes modernising classrooms, laboratories, libraries and recreational areas. Another report on Education Sector Outlook 2024 revealed that schools and colleges that invest in these facilities and improvements in design see measurable gains in student performance. The study also points to smart infrastructure, such as digital labs and energy-efficient campuses, providing the kind of head start that students need in their daily lives.
Being future-ready is not only about technology but also about being inclusive and safe. Having greater access across the campus for all abilities, robust safety systems, and digital access are crucial to the design thinking. Integrating sustainable practices such as solar power, energy-efficient lighting, and waste management supports a greener environment. This is also incidentally a key priority under NEP 2020. By creating eco-friendly spaces and supporting sustainable operations, the institution demonstrates long-term responsibility and commitment to inclusive learning. This approach ensures that infrastructure investments support student well-being and benefit the wider community.
As India’s education sector evolves, institutions are increasingly expected to upgrade and maintain their infrastructure. To make these investments meaningful and future-ready, planning finances in a structured and sustainable way becomes essential.
This requires balancing capital expenditure, such as buildings, laboratories, and digital classrooms, with operating expenditure, which includes salaries, utilities, technology upgrades, and administrative costs. A well-planned Capex–Opex strategy helps institutions grow responsibly while preserving the quality of learning and student experience. For this, education-focused NBFCs have emerged as crucial enablers of transformation, as they have the expertise to understand the unique needs of each institution and accordingly support their investment plans. This enables institutions to modernise responsibly, optimise financial planning and maintain stability while advancing their infrastructure goals.
The transformation envisioned in NEP 2020 will be driven by improved access, enhanced quality, and continuous innovation. Investments in digital connectivity, safer campuses, and inclusive learning environments will translate into long-term gains in human potential. For students, where and how they learn is becoming as important as what they learn. Smart infrastructure is not just a support system; it is the foundation of India’s future of learning.
This article is authored by Vivek Kumar Baranwal, chief business officer – education loans domestic business, Avanse Financial Services.

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