Cabinet Approves Rs. 60,000 Cr Scheme to Upgrade ITIs

  • 09 May 2025

On 7th May 2025, Cabinet has cleared the National Scheme for ITI Upgradation and 5 Centres of Excellence for Skilling, with a Rs. 60,000 crore outlay.

Key Points

  • Budget & Partners: Rs. 60,000 crore scheme (Rs. 30,000 cr Centre, Rs. 20,000 cr States, Rs. 10,000 cr Industry), co-financed 50% by ADB and the World Bank.
  • ITI Transformation: Upgrade 1,000 Government ITIs using a hub-and-spoke model with deep industry partnerships.
  • New Centres: Establish 5 National Centres of Excellence in NSTIs: Bhubaneswar, Chennai, Hyderabad, Kanpur, Ludhiana.
  • Training Capacity: Skill 20 lakh youth over 5 years through modern, industry-aligned trades. Train 50,000 instructors with improved ToT facilities.
  • SPV Model: First-time adoption of an industry-led SPV model for implementation to ensure outcome-focused, flexible fund use.
  • Focus Sectors: Electronics, automotive, and renewable energy among sectors targeted for skilled workforce pipelines.
  • Vision Link: Scheme aligns with the vision of Viksit Bharat 2047, aiming to make skilling aspirational and employment-ready.