As for the reservation policy in the higher educational institutions, the law of the land will prevail. Though 100 per cent foreign direct investment (FDI) through the automatic route is permitted in the education sector since 2000, the present legal structure does not allow granting of degrees by foreign educational institutions here.

The proposed law will facilitate the globally renowned institutes to participate in the higher education sector. It will bring in foreign education providers for vocational education training also.

Three other reform bills, slated to be taken up in the Cabinet, were deferred to the next meeting. These are the Prohibition of Unfair Practices in Technical, Medical Educational Institutions and Universities Bill, the Educational Tribunal Bill and the National Accreditation Authority Bill. A Group of Ministers has already cleared the Bills.