India, with the third largest higher education system globally, has the lowest gross enrolment ratio compared to G20 nations. The National Education Policy 2020 has made a strong recommendation to enhance the gross enrolment ratio for higher education to 50% by 2035. This figure stood at 19.4% in 2010 and 28.4% in 2021-22. The study, therefore, analyses the nature of the growth of higher education in India from 2000 to 2020 and carries out Panel regression to investigate the gross enrolment ratio at the state level, primarily affected by the number of universities and the growth in the number of colleges per million population. The analysis reveals a need for significant expansion of higher education in India in the future, or it will result in a case of elusive inclusive development--wherein India will miss the 2030 global agenda concerning Sustainable Development Goal 4 on higher education and the 2035 National Education Policy target. The study recommends that higher education should be closely monitored by the states at the district level, providing high-quality and affordable online education to realise the preferred outcomes.