While many Indian students are seeking MBAs abroad, the schools at home are making big gains.

Recently, the Association to Advance Colligate Schools of Business (AACSB) accredited the Indian School of Business (ISB.) This is the first school in India that AACSB has accredited, and the accreditation promises to boost the school’s international reputation. In a press release, ISB frames this event as a fundamental shift in business education as well as in business as a whole:

“Within Asia, India is emerging as a significant player owing to factors such as opening and globalising of Indian economy, massive explosion of higher education and a change in approach from being ‘inward looking’ to ‘outward looking’. Against this backdrop, international accreditation will enable Indian B-schools to strengthen their global standing and raise the quality of Indian education. With ISB being the first Indian management education institution to earn the AACSB accreditation, it aims to put India firmly on the world management education map.”

While ISB is the first Indian school to receive accreditation from AACSB, several other schools are already accredited by different accreditation bodies: SP Jain Institute of Management & Research (SPJIMR) and the Management Development Institute (MDI) are accredited by the Association of MBAs (AMBA); and the Indian Institute of Management in Ahmedabad (IIMA) is accredited by European Quality Improvement System (EQUIS.)

Beyond securing accreditations, these top schools in India are gaining traction in the international business education world in other ways. Indian Institute of Management in Ahmedabad, for example, made waves this year when it debuted in the Financial Times’ Global MBA Rankings at number 11 – the highest ranked newcomer of the year. The FT owed its high placement to “impressive salary data” ($174,440, three years after graduation,) and good career progression.

Indeed, India’s increased pull in the global business environment is beginning to attract international business schools as well. Italy’s SDA Bocconi recently announced that it plans to open a business school in Mumbai next year, where it will offer a full-time Post Graduate Program in Business (PGPB.)

These developments all show a positive future for the Indian business education system, and at a much needed time: A recent World Bank study predicted that, as India modernizes, it wil face major shortages of skilled labor in many sectors. Robust MBA programs in India will help develop a skilled workforce, with an eye toward the unique challenges the country faces.