'Best University' on Verge of Financial Crisis

The non-plan budget is spent on salaries and maintenance, and the plan budget on research, equipment, library and infrastructure development.
'Best University' on Verge of Financial Crisis

HYDERABAD:The University of Hyderabad, which has received the Best University award from the President recently, is  in a financial crisis as its funding from the national bodies has seen a sharp decline in the current academic year. According to university officials, they have funds which are barely enough to meet maintenance expenses for hardly two months.

When the University Grants Commission  had asked all the central universities to submit their  proposals for required budget for this academic year, the UoH sought Rs 900 crore under the 12th five-year Plan but was granted only Rs 166 crore and has received only Rs 70 crore in the first phase.

The university has spent the amount and is awaiting now release of the second tranche.  Central universities receive funding from the Union government under two categories: plan and non-plan budgets.

The non-plan budget is spent on salaries and maintenance, and the plan budget on research, equipment, library and  infrastructure development. The UoH now has  shortage of funds in both the categories.

Though the salaries of teaching and non-teaching staff are being paid regularly,  maintenance is going is to be tough challenge as the existing funds are enough only for another two months. “Any delay in the further sanction of funds might lead to financial crisis for the university,” said   vice-chancellor E Haribabu.

The university administration has requested the UGC to review the sanctioned budget and grant more funds to meet maintenance and other expenses. The vice-chancellor has  met UGC officials in this regard and sought additional funds. “We have recently met  UGC vice-chairman H Devaraj and explained to him about the university’s financial condition. He  responded positively,” Haribabu said and expressed concern that  in case the funds were delayed for more than two months, several developmental activities on the campus would grind to a halt.

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