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: The National Education Policy (NEP) 2020 represents a landmark initiative in India’s higher education landscape, seeking to transition the sector from a predominantly insular, examination-driven model to one that aspires for global relevance and competitiveness. This study critically examines the transformative ambitions of NEP 2020 through a comparative policy analysis, positioning its framework alongside the Canadian higher education model, which is globally recognized for its decentralized governance, institutional autonomy, inclusivity, and successful international engagement. By situating this inquiry within the broader discourse of educational globalization and policy transfer, the paper interrogates how NEP 2020 proposes to reconfigure India’s higher education institutions (HEIs) to participate more actively in global academic ecosystems. Adopting a thematic, qualitative, and comparative methodology, this research analyzes official policy documents, international education reports, and scholarly literature to identify convergences and divergences between the Indian and Canadian systems. Key focus areas include the promotion of multidisciplinary and research-intensive institutions, the establishment of the National Research Foundation (NRF) , expansion of public-private partnerships, international student mobility, and digital learning infrastructures such as SWAYAM and NDEAR . The analysis is further substantiated by a case study of the Homi Bhabha National Institute (HBNI) cluster university model, presented as an early example of NEP 2020’s research and innovation agenda in practice. While the NEP articulates a bold and globally aligned vision, the study identifies enduring structural challenges in the Indian higher education system—including underfunding, regulatory fragmentation, political interference, and the risks of excessive privatization—that may hinder its equitable and effective implementation. These concerns are contextualized through critical perspectives from established scholars such as Tilak (2012), Srivastava (2010), and Dhameja (2021), who caution against replicating market-oriented education reforms without adequately addressing issues of social equity, public accountability, and access. The paper contends that while NEP 2020 draws valuable lessons from international models like Canada’s, its success will ultimately depend on India’s ability to adapt these frameworks within its distinct socio-political and cultural milieu. In doing so, the study contributes to the fields of comparative education policy and global higher education governance by interpreting NEP 2020 not merely as a domestic policy reform, but as a deliberate strategy of educational diplomacy and global knowledge positioning for India in the 21st century.