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Consultancy operation tightens: Mandatory permission, Rs 25 lakh deposit and ‘digital’ transactions mandatory

Artha Sarokar

Kathmandu. The government has endorsed the Educational Counseling, Language Teaching and Preparation Classes (Operation and Management) Regulations-2083 BS to make the operation of educational consultancy institutions, language teaching centres and preparatory classes systematic, transparent and accountable. The regulations approved by the Council of Ministers have implemented new provisions related to license, financial transactions, student safety and service quality.

According to the Ministry of Education and Sports, the regulation has been prepared with the objective of protecting students’ interests, maintaining transparency in service delivery and effective regulation of educational consultancy institutions.

As per the regulation, one has to deposit Rs 25 lakh to run the educational counselling service. Also, a fee of Rs 50,000 has to be paid for the license.

Now, educational counseling services cannot be operated without a license from the ministry. The province or local level can regulate the language teaching centers and preparatory classes. The license will be valid for one year and must be renewed every year.

The institution providing educational consultancy services should appoint a trained consultant after passing at least Bachelor’s Degree. In addition, the organization should have its own building or office with a lease agreement of at least three years.

The regulation has made provision that financial transactions with students should be done completely digitally. All fees can be taken only through bank or other digital means and cash transactions are not permitted. The organization shall have to provide the bill or reimbursement of the fee. Also, the details of the service charge should be made public on its own website.

The responsibility of the consultancy organization has also been increased for the protection of the interests of the students. The consultancy institution should provide compensation if the students who have received the counseling are stranded abroad or if the concerned educational institution is found illegal. It states that the students should make arrangements to pay the tuition fees through banks only after receiving the ‘No Objection Letter’.

The regulation has made provision for only domestic investment in educational consultancy institutions. Institutions with foreign investment will have to transfer to domestic investment within a year. Similarly, educational fairs and exhibitions targeting students going abroad for higher studies have been banned. Prior approval of the ministry will be required to organize other educational fairs or exhibitions.

The Ministry can categorize educational consultancies into ‘A’, ‘B’ and ‘C’ categories on the basis of quality of service, performance and success of students. The ministry has also been given the authority to identify foreign universities that are at risk and ban sending students to such institutions.

As per the regulation, the license of an institution that does not renew its license, misuses students or cheates them, disseminates misleading information or does not pay tax can be confiscated and the deposit can be confiscated.

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