Parliament Question: Strengthening Statutory Audit and Public-Interest Oversight Framework

GOVERNMENT OF INDIA MINISTRY OF EDUCATION DEPARTMENT OF HIGHER EDUCATION LOK SABHA UNSTARRED QUESTION NO. 3595 ANSWERED ON 10.08.2026 Strengthening Statutory Audit and Public-Interest Oversight Framework

3595. Shri Parshottambhai Rupala:

Will the Minister of EDUCATION be pleased to state:

(a) whether the Government has undertaken a comparative review of global best practices, particularly those adopted in the UAE and Estonia, to further strengthen India's statutory audit and public-interest oversight framework, if so, the details thereof;

(b) whether the Government proposes to introduce reforms such as a National Digital Audit Registry, mandatory cooling-off periods for statutory auditors, AI-enabled risk-based inspections and fixed audit quality review mechanisms, if so, the details thereof; and

(c) whether the Government is considering measures to strengthen technology-driven audit supervision, cyber and forensic audit standards, auditor independence and transparency to enhance investor confidence, financial stability and public trust in corporate financial reporting and if so, the details thereof? ANSWER MINISTER OF STATE IN THE MINISTRY OF EDUCATION (DR. SUKANTA MAJUMDAR)

(a) to (c) The Ministry of Education regularly interacts with reputed global ranking institutions which conduct audit of educational institutions on a varied parameters and incorporates relevant best practices as appropriate for the Indian context.

The National Education Policy (NEP) 2020 envisages the establishment of robust institutional governance, transparency, accountability and efficient financial management across educational institutions, and provides that all education institutions will be held to similar standards of audit and disclosure as a ‘not for profit’ entity.

Further the NEP 2020 also provides for:(i) a ‘light but tight’ regulatory framework to ensure integrity, transparency, and resource efficiency of the educational system through audit and public disclosure while encouraging innovation and out-of-the-box ideas through autonomy, good governance, and empowerment, and

(ii) periodic reviews of the progress of implementation of the policy, in accordance with the targets set for each action.

Under various extant statutory and regulatory frameworks, Ministry of Education along with the designated bodies, including UGC, AICTE, NCERT, CBSE, NCTE, ensures the governance, financial management and oversight of educational institutions.

While at present there is no proposal to introduce a National Digital Audit Registry, the NEP 2020 encourages the use of technology for improving governance, institutional efficiency, transparency and accountability and in this context, Ministry of Education is implementing various digital governance initiatives like SWAYAM, SWAYAM+, NISTHA, SAMARTH, ONOS etc. in the public interest for the use of diverse stakeholders.

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