Education policy of a nation plays a key role in knowledge production through a robust method to promote Research & Development (R&D) in academic activities. An efficient policy enables the knowledge system to contribute in the creation of knowledge-based goods. By announcing the National Education Policy (NEP) in July 2020, India made significant adjustments to its educational system after a long period of 34 years. The strategy intends to improve education for roughly 300 million children in the nation through a variety of changes, increasing public spending in education from 4.4% of India's GDP to 6%. India's administrative policy statement, NEP 2020, which aims to provide equitable and high-quality education to all citizens, has once again stressed the necessity of raising public investment in the education sector to at least 6% of GDP as soon as practicable. The Union government and the states' total financial allocation for education spending in 2021–22 was 3.1% of the nation's GDP, well below the goal.