The Indian Higher education sector has been recognized as the “sunrise sector.” Higher education in India is of vital importance for the country, as it is a powerful tool to build knowledge-based society of the 21^st Century. With the growing size and diversity of the higher education sector particularly in terms of courses, management and geographical coverage, it has become necessary to develop a sound database on higher education. The educational statistics in India are collected on 100 percent count basis, though collection and dissemination of data on higher education suffers some incomplete coverage, inordinate time lag. Sound database on higher education is also required for planning, policy formulation, fulfilling International Commitments, Research.

The database management for higher education and its use for policy analysis, program design, implementation and monitoring is an area of concern. The whole exercise is seen more as a reporting system rather than a tool to assist the decision makers. The major factor affecting the quality of educational statistics and their analysis at the state and national level is the limited use of educational statistics. The UGC has taken some major steps to overcome the obstacle and enhance the better change in Higher education in India. University Grants Commission (UGC) released a report "Higher education in India at a glance" summarizing key data points of relevance for policymakers and administrators.

With 700 universities and more than 35,000 affiliated colleges enrolling more than 20 million students, Indian higher education is a large and complex system. The structure of degree-granting institutions is cumbersome primarily due to "affiliation" and funding sources. More than 85 percent of students are enrolled in bachelor's degree programs with majority enrolling in three-year B.A., B.Com. or B.Sc. degrees. One-sixth of all Indian students are enrolled in Engineering/Technology degrees. The percentage growth in recent year in number of engineering institutions in India have came down from high of 43 percent in 2008-09 (academic year) to 3 percent in 2012-13. This translates into slowdown in starting of new institutions from 720 in 2008-09 to 105 in 2012-13. Likewise, for business schools, growth declined from 33 percent in 2008-09 to 3 percent 2012-13. In terms of absolute numbers, the number of new B-schools declined from 417 in 2009-10 to 82 in 2012-13.

The fluctuation in Indian Higher education system in recent decade has raised concern for analysis, proper management and policy making. The drop in graph needs to listen to the qualitative dimension of the demand and adapt to it to remain relevant and competitive.