Sector experts are upbeat about the growth visible now and believe it could turn into one of the most preferred sectors for investment by venture capitalists and private equity players going forward.

"The education sector presents an investment potential of USD 100 billion over the next five to six years. Venture capitalists and private equity players will have a role to play in the expansion going forward," KPMG director Strategic and Commercial Intelligence Dushyant Singh said.

Moreover, experts feel by enabling private participation in education, private players can have a significant role in expanding the sector. According to education and training provider Zee Learn, which is a division of ETC Networks, there is huge growth potential in the sector with increasing demand for educational institutions.

"The sector is not well capitalised and there is need and potential for private investments in the space. To tap this growth, Zee Learn is also planning to set up 20 more schools and 660 pre-schools in the country this year," Zee Learn CEO Sumeet Mehta said.

The sector offers opportunities to increase capital as education still lacks good-quality infrastructure in the country and investors have the opportunity to build it, experts believe.

"The sector has various drivers for growth, including very low school going population, need for educated and skilled professionals and infrastructure requirements," Singh said.

However, there are some regulatory hurdles as an educational institute in the country has to be a non-profit making organisation. Singh said investors can become part of the sector through investments in service and infrastructure providing for schools and institutions.

Moreover, there is a need for large players in the sector as the space is currently fragmented, he added. Meanwhile, Zee Learn's Mehta also said robust hiring will take place in the sector in the coming years as the expansion in the education sector is increasing the need for school teachers and other staff.