Peru s Challenges in Higher Education

Transcription

1 2015/ISOM/SYM/007 Session II Peru s Challenges in Higher Education Submitted by: Antonio Ruiz de Montoya University Symposium on 2016 APEC Priorities Lima, Peru 10 December 2015

2 Asia-Pacific Economic Cooperation - APEC Symposium on APEC Priorities Peru s challenges in higher education Fernando Villarán Dean of the Engineering and Management School Antonio Ruiz de Montoya University December 10, 2015 Issues 1. Macroecomic success 2. Remaining structural problems 3. Productivity 4. Informality 5. The higher education sector 6. Government of Peru Programs 1

3 Macroeconomic success Peru s Per capita income Growth and Source: Peru, Building on Success, World Bank Report, Oct2015 2

4 Peru s very low inflation (real and expected) Source: Peru, Building on Success, World Bank Report, Oct2015 Peru s excelent results in poverty reduction Source: Peru, Building on Success, World Bank Report, Oct2015 3

5 Poverty and Extreme Poverty evolution in the last years Population in poverty in 1990: 58% (35 points reduction) Population in Extreme Poverty: 20% (16 puntos reduction) Peru s reduction of inequality Source: Peru, Building on Success, World Bank Report, Oct2015 4

6 In the other hand, the same document from the World Bank concludes that Peru has 4 major problems that limit it s future growth: 1. Insufficient infrastructure 2. Narrow export diversification 3. Large informal sector 4. General low productivity Peru s insufficient infraestructure Source: Peru, Building on Success, World Bank Report, Oct2015 5

7 Peru has become a mining country: Mineral and oil exports went from 53% in 1990 to 68% in 2013 Source: Create to Grow, CONCYTEC.2014 Size of the Informal Sector as % of GDP 2007 Previous studies on Informal Sector: 1. Hernando de Soto (1986), : 55% of GDP 2. Schneider (2000) : 44% of GDP 3. Loayza (1997) : 57.4% of GDP Source: Producción y empleo informal en el Perú, INEI, Lima, 2014 (with the technical support of IRD of France 6

8 Informal employment in Perú 2007: 79% Informal Employment in the Informal sector Informal Employment in the Formal sector This is the new discovery Formal Employment Labor informality is found mainly in the micro and small scale enterprises 7

9 The low productivity issue Productivity by Industry 8

10 Productivity by size of firms Productivity by sectors 9

11 Changes in productivity by sectors 2000 to 2011 Where does education enters here? We are using Peter Drucker s concept: Value is now created by productivity and innovation, both applications of knowledge to work 10

12 The key of productivity is knowledge and knowledge is education The path for increasing productivity massively is with high quality and creative education The expansion of higher education in Peru Number of students Source: Ricardo Cuenca-IEP 11

13 The growth of higher education Number of universities Fuente: Ricardo Cuenca-IEP Relation between higher and technical education (Working force) Fuente: La inadecuación ocupacional de los profesionales con educación superior-mtpe

14 Low performance in education indicators Source: Peru, Building on Success, World Bank Report, Oct2015 Low investment in education and low performance of higher education Public expenditure in education in Latin America (UNESCO), as a percentage of GDP (2013 figures): Venezuela 6,8% Colombia 4,9% Bolivia 6,4% Chile 4,6% Jamaica 6,3% Uruguay 4,4% Argentina 6,2% Paraguay 4,3% Brasil 5,8% Perú 3,3% México 5,1% In the QS Ranking of the best latin american universities, only 3 peruvian universites appear in the first 100: (i) la Pontificia Universidad Católica del Perú (PUCP), 19th place; Universidad Nacional Mayor de San Marcos (UNMSM), 60th place and Universidad Peruana Cayetano Heredia (UPCH), 64th place. Ahead of the PUCP comes: 8 Brasilian universities, 4 from Chile,, 2 from México, 2 from Argentina, and 2 from Colombia. 13

15 Fortunately the Peruvian government is reacting: has approved a new University Law to boost quality, and is rising investment in education (4% of GDP in 2016) The Government is also implementing new and massive programs: Grant 18: for low income students Credit 18: for the next tier of income Grants for post graduate studies abroad Quali Warma: food program for 3 million students Training programs for teachers Among others Thank you 14