However, the MHRD, has relaxed the norm by allowing the IIMs to go solo on international plans. Around five years ago, IIM Bangalore(IIM-B) was the first among IIMs to think of an international footprint — Singapore. The idea of a campus in Singapore, however, was turned down by the then HRD minister Arjun Singh who felt there was a need to meet domestic demand first.

While this decision must be a reprieve for IIMs, the IIMs are not looking at an international foray immediately as managing their resources on the home front itself is a challenge at present. According to sources, IIM-A is running short of faculty in Ahmedabad and need 25 more to meet the students need. IIM Bangalore (IIM-B), on its part, says it has not yet studied which market it plans to be in, the size, advantages, and what programmes to offer, etc.

Along with an international presence, the IIMs say they want to have a mix of international students and their international linkages will help them achieve this. As and when the IIMs launch their international plans, they might do it with one-year executive management programme.

The IIMs, however, are confident that an IIM campus abroad will be financially viable since the fees will be of international standards and therefore much higher than that Indian fees. Indian institutes with campuses abroad generally go for a two-cycle approach, which involves setting up operations through a rented place for two years and branching out to their own campuses in three years time.