Once considered the educational capital of India, Kota, Rajasthan, is facing a downturn that has left many hostels empty and businesses struggling.
The city, known for its coaching institutes and thousands of aspirants preparing for JEE and NEET exams, is now experiencing a significant drop in student numbers.
According to PTI, the number of students has dropped from a typical 2-2.5 lakh to just 85,000 to 1 lakh this year. The decline in student numbers has led to a drop in revenue, from Rs 6,500 crore to just Rs 3,500 crore this year.
This shift is raising questions like:
- Why are hostels and coaching centers in Kota facing empty rooms?
- And is the coaching industry losing its stronghold?
An industry which once boomed with students flocking from across the country to take their chances at securing a spot in top medical and engineering colleges. To accommodate these students, numerous hostels and rental accommodations were built, with businesses popping up to serve this growing student population. Areas like North Kota saw entire developments, such as Coral Park, dedicated to housing coaching aspirants.
From Full To Empty, Hostels Struggle To Survive
However, today, much of Kota’s coaching hub is eerily quiet. Hostel owners, particularly in places like Coral Park, are facing massive losses. Rents that once soared up to Rs 15,000 to 16,000 per month are now down to a mere Rs 2,000 to 2,500. This drastic fall in rent reflects the sharp decline in student occupancy.
Naveen Mittal, President of the Kota Hostel Association, shared his concerns with BBC, stating that this year, only around 10,000 students are there in the city hostels—down by 25-30% from previous years.
Why is this happening to Kota
The city has long been seen as the go-to destination for coaching in India. One reason for the dip in numbers could be the rising suicide cases happening due to stress and pressure faced by students.
It has tarnished the reputation of Kota, discouraging parents from sending their children to the city.
In 2023 alone, the city witnessed 23 student suicides, shedding light on the mental toll that coaching can have on young students. Many feel that the overwhelming pressure to succeed in competitive exams has become too much to handle.
Additionally, new guidelines from the Education Ministry, prohibiting students under 16 from enrolling in coaching institutes, have further impacted student influx.
Previously, students as young as 12 or 13 would move to Kota to prepare for JEE and NEET exams. With stricter regulations and increasing awareness of the mental health challenges, many families are reconsidering sending their children to Kota.
The Impact on the Local Economy
The fall in student numbers is not just affecting hostels but the entire local economy. Nearly 4,000 hostels and 40,000 paying guest accommodations in Kota depend on coaching aspirants for their livelihood.
Starting from 'Auto drivers' to 'Tea sellers', every small business owners are feeling the pinch.
Hostel buildings, now resembles a ‘ghost town'
The downturn is hitting investors in luxury hostels the hardest. Coral Park, once a hub of development with 300 luxury hostel buildings, now resembles a ‘ghost town.’
According to a report by Indian Express, up until July 2024, only about 8,000 of the 22,000 rooms in the area were occupied despite massive investments.
Sunil Aggarwal, a real estate investor and the President of Coral Park Society, told to IE that his monthly income has dropped drastically from Rs 3 lakh to just Rs 30,000.
Coaching Institutes Facing The Burnt As Well
The decline in student numbers isn’t just affecting hostels, but coaching institutes as well. A major part of the decline is attributed to new competition.
Other coaching institutes have set up centers in other states, attracting students who might have otherwise come to Kota. Also, changes in the education system, such as the delay in NEET results due to ongoing court cases, have added to the uncertainty.
Looking Ahead, Will Kota Recover?
Despite the current crisis, some remain hopeful about the future of Kota.
Govindram Mittal, Zonal Chairperson of the United Council of Rajasthan Industries, believes that Kota’s unique educational model will continue to attract students. “The environment here is unmatched. Once things stabilize, students will return,” he told to IE.
While Kota’s coaching industry is undoubtedly facing a tough time, there is still optimism that the city’s education-driven economy will bounce back.
