1. Focus on Early Childhood Care and Education (ECCE)

The argument for increased investment in early childhood care and education (ECCE) is a fundamental one. Human resources are the foundation of a nation, and early childhood is the foundation of a human being. Over time, the Indian developmental state has responded to parental aspirations for education, initially targeting access, achieving a 100% gross enrollment ratio at the primary level, and now focusing on quality, with an emphasis on measuring learning outcomes. However, there is a growing realization that India's young learners are facing challenges; a significant number of Standard Three learners cannot read Standard Two text or perform basic subtraction.

Shifting Focus to Children Under Six

This recognition has led to a shift in focus to even earlier stages of the life cycle, specifically children under six. Initiatives like the Ministry of Education's National Initiative for Proficiency in Reading with Understanding and Numeracy (NIPUN) Bharat for foundational literacy and numeracy, and the Ministry of Women and Child Development's (MWCD) Poshan Bhi Padhai Bhi to enhance ECCE quality through the Anganwadi system, have been introduced.

Budgetary Allocations and Initiatives

The interim Budget 2024 promises to expedite the upgradation of Saksham Anganwadis and provide Ayushman Bharat services for Anganwadi workers, Accredited Social Health Activist (ASHA), and helpers, which is a positive development.

In 2023, the outlay for teaching-learning materials tripled, reaching approximately ₹420 crore per annum, assuming 14 lakh Anganwadi centres, serving India's poorest eight crore children under six. For context, the 2024-25 budgeted expenditure on centrally sponsored schemes, which constitute a significant part of Centre-State fiscal transfers, is ₹5.01 lakh crore. Of this, the Anganwadi system receives about ₹21,200 crore, which is more than rural roads (₹12,000 crores) and irrigation (₹11,391 crore), but less than the National Education Mission (₹37,500 crore) and the National Health Mission (₹38,183 crore). The Department of Higher Education receives around ₹47,619 crore, catering to approximately four crore enrolled learners, who predominantly come from the more privileged sections of Indian society.

2. Early Childhood Education in India

Early childhood education (ECE) in India is a critical need that has been historically under-addressed. The importance of ECE cannot be overstated, as it lays the foundation for a child's lifelong learning and development. However, in India, ECE has often been trivialized or limited to the household domain, primarily considered women's work.

The Importance of ECE

ECE is the bedrock of a human being and, by extension, the nation. It is during these formative years that children develop essential cognitive, emotional, and social skills that are crucial for their future success. Despite the Indian developmental state's focus on education, there is a realization that India's young learners are struggling. A large number of standard three learners are unable to read standard two texts or perform basic subtraction, highlighting the need for early intervention.

Government Initiatives

To address this issue, the Indian government has initiated several programs focusing on ECE. The Ministry of Education's National Initiative for Proficiency in Reading with Understanding and Numeracy (NIPUN) Bharat aims to enhance foundational literacy and numeracy skills. Additionally, the Ministry of Women and Child Development's (MWCD) Poshan Bhi Padhai Bhi aims to improve ECE quality through the Anganwadi system.

Budget Allocation

The interim Budget 2024 has promised to expedite the upgradation of Saksham Anganwadis and provide Ayushman Bharat services for Anganwadi workers, Accredited Social Health Activist (ASHA), and helpers. The budget has also tripled the outlay for teaching-learning materials, assuming 14 lahks Anganwadi centres catering to India's poorest eight crore children under six.

Need for Research

Despite these initiatives, there is a need for systematic and rigorous research in the Indian context to understand the macroeconomic and social implications of ECE. International studies have shown a significant return on investment for every dollar spent on ECE, but such studies need to be replicated in the Indian context.

3. Centre starts survey to assess women's participation in the workforce

The recent initiative by the Centre to survey to assess women's participation in the workforce signifies a potential step towards understanding and addressing this complex issue in India.

Significance of the Survey

• The survey aims to gather data on the current state of women's participation in the workforce across various sectors and age groups. This data will be crucial for developing informed policies and interventions.
• The survey can help identify factors hindering women's entry or re-entry into the workforce, such as lack of childcare facilities, gender pay gap, workplace discrimination, or social norms.
• By relying on evidence-based data, the government can tailor its efforts to address specific challenges faced by different sections of women.

Previous Trends and Concerns

• India's female labour force participation rate (LFPR) remains significantly lower compared to the global average and other BRICS nations. The 2022-23 Periodic Labour Force Survey reported a rate of 37%, highlighting the need for improvement.
• Various factors contribute to this low participation rate, requiring a multi-pronged approach. These factors may include societal expectations, limited access to education and skills development, and inadequate support systems.

Potential Outcomes

• The insights gained from the survey can pave the way for the development of targeted policies and initiatives to promote women's workforce participation. This could include providing affordable childcare facilities, skill development programs, and addressing workplace discrimination.
• The data collected can be used to track progress and assess the effectiveness of implemented policies over time. This allows for adjustments and improvements based on real-world data.

Challenges and Considerations

• Ensuring comprehensive survey coverage and accurate data collection across diverse demographics is crucial.
• While the survey is a positive step, it's vital to recognize that addressing the issue solely through data collection is insufficient. Concrete action plans and policy changes are necessary to create a supportive environment for women in the workforce.

4. The Anganwadi System

Recent research provides compelling evidence for expanding allocation and expenditure by both the Centre and the States on the Anganwadi system. Quasi-experimental impact evaluations, utilizing existing survey data, have demonstrated improvements in cognitive and motor skills among Anganwadi-attending children, particularly in reducing gender and income-related gaps. A study in 2020 revealed that children exposed to the Anganwadi system from ages zero to three went on to complete 0.1-0.3 more grades of school. While there is growing evidence at the individual level, the macroeconomic implications remain underexplored.

Matching Micro to Macro

To determine the appropriate areas to allocate funds — infrastructure, capacity building, materials, and staffing — it is essential to align the micro-level benefits to the macro-level gains, converting amounts from paise to lakh and crore. Estimates are needed to understand the potential contributions to GDP from the proven individual benefits of robust ECCE, which include improving women’s physical and mental health, lifespan, public health expenditure, children’s educational attainment, physical and mental health, and even social unrest.

Nobel Laureate Heckman's Perry Preschool study demonstrated that children who received high-quality ECCE grew into less violent adults. Early development of strong socio-emotional skills might even help prevent later student suicides.

5. The Need for Systematic Research in India

There is a clear need for systematic and rigorous research in the Indian context, building upon the work of leading academics on the macroeconomic and social implications of early childhood development. To formulate evidence-based policies, it is crucial to understand the opportunity cost of inadequate allocation of material resources, money, and high-quality talent to the early childhood sector. International researchers, including those at the University of Chicago and Yale University, have suggested a 13% annual return on investment for every dollar invested in early childhood, but such studies are in the American context. India needs similar longitudinal studies exploring the impact of early childhood care, including the Anganwadi system, which remains the world’s largest public provisioning system for ECCE.

Investing in India's Future

Children born in 2024 will be five years into adulthood by 2047, which marks India’s 100th year of independence and the target year for Viksit Bharat. The path from developing to developed countries, like the Asian Tigers, is paved with human development investment, and the earlier it is made, the better. If India aims for its women to work and its children to thrive, investing in ECCE is the way forward. It is not merely child’s play but a strategic investment in the nation's future.