Key Initiatives in the Union Budget 2025-26: EDUCATION

Published By : Admin | February 4, 2025 | 18:31 IST

The Union Budget for 2025 introduces several initiatives aimed at transforming the educational landscape in India, with a particular focus on expanding opportunities for youth in the fields of technology, medicine, and innovation. These measures are introduced to equip the future workforce with the skills necessary to thrive in an increasingly digital and competitive global economy. Below are some of the key initiatives outlined in the budget:

Under the BharatNet initiative, the government has announced plans to connect all government secondary schools with high-speed broadband. This move is expected to enhance digital learning resources, allowing students to access a wider range of educational tools and materials. The improved connectivity will play a crucial role in bridging the urban-rural divide in education and make remote learning more accessible across the country.

To meet the growing demand for skilled workers in advanced manufacturing and emerging industries, the government will establish 5 National Centres of Excellence (NCOEs) dedicated to skilling. These centres are designed to develop a highly skilled workforce, aligned with the Make in India initiative, by equipping youth with world-class training in collaboration with global experts and international partners. By leveraging global expertise and industry partnerships, the NCOEs will provide cutting-edge skills training, empowering India’s workforce to meet the demands of emerging sectors. This initiative will not only boost India’s manufacturing capabilities but also enhance its ability to export high-quality products, strengthening its position in the global economy.

The Union Budget proposes the expansion of the Indian Institutes of Technology (IITs) to accommodate an additional 6,500 students. As part of this expansion, IIT Patna will also see an increase in hostel capacity. The budget also highlights the government’s efforts to strengthen healthcare infrastructure by increasing the number of medical seats. An additional 10,000 medical seats will be added in the current financial year, building on the 1.1 lakh seats that have been added over the past decade. The government aims to increase this number further, with plans to add 75,000 medical seats over the next five years. Furthermore, 10,000 fellowships will be provided under the PM Research Fellowship scheme in the next five years, for technological research in IITs and IISc.

In line with India’s push towards digital innovation, the government has allocated Rs. 500 crore for the establishment of a Centre of Excellence in Artificial Intelligence (AI) for Education. This initiative is expected to drive innovation in the education sector. In 2023, the government had announced the establishment of three centres of excellence in AI focused on agriculture, healthcare, and sustainability, aiming to advance research and practical AI applications in these sectors. The AI center of excellence for education is a strong signal for integrating AI for both the educators and learners. This will help unlock learning and raise the quality of education thereby improving employability,

The budget also proposes measures to reduce the compliance burden for students and parents. The government has announced the elimination of Tax Collected at Source (TCS) on education-related remittances funded by loans from specified financial institutions. Additionally, the TCS on goods sales transactions will be removed, making it easier for individuals to make education-related payments without the hassle of complex tax procedures.

To foster curiosity, innovation, and scientific temper among students, the government will establish 50,000 Atal Tinkering Labs in government schools over the next five years. These labs will enable school children to experiment with robotics, 3D printing and other technology. It will also help cultivate the spirit of curiosity and innovation, and foster a scientific temper among young minds. The government is making sure education keeps up with technological advances in AI.

The Bharatiya Bhasha Pustak Scheme will provide digital books in Indian languages for students in both school and higher education. It aims to help students better understand their subjects. Students in schools and universities will be able to access textbooks and learning resources in digital formats. The initiative aims to bridge the gap in educational resources for students from diverse linguistic groups. This initiative also complements the government’s previous steps to enhance educational infrastructure, such as the ASMITA (Augmenting Study Materials in Indian Languages through Translation and Academic Writing) initiative.

The Union Budget for 2025 demonstrates a strong commitment to the youth of India by addressing critical areas in education, skill development, and healthcare. With initiatives like broadband connectivity in schools, the establishment of National Centres of Excellence for Skilling, and the expansion of IITs and medical education, the government is taking significant steps to enhance the quality and accessibility of education across the country. The focus on digital tools, AI research, and innovation also highlights a forward-thinking approach aimed at preparing the next generation for the challenges and opportunities of the future.

These initiatives, once fully implemented, have the potential to transform the educational landscape and create a more inclusive and innovative environment for students across India.

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Prime Minister and President of Cyprus interact with business leaders from Cyprus and India
June 15, 2025

Prime Minister Shri Narendra Modi along with the President of Cyprus, H.E. Nikos Christodoulides today held a Roundtable interaction with business leaders from Cyprus and India in Limassol. The participants represented diverse sectors such as banking, financial institutions, manufacturing, defence, logistics, maritime, shipping, technology, innovation, digital technologies, AI, IT services, tourism and mobility.

Highlighting India's rapid economic transformation in the last 11 years, Prime Minister noted that India, propelled by next-generation reforms, policy predictability, stable polity and Ease of Doing Business, has become the fastest growing major economy in the world. Emphasizing on the primacy being given to innovation, digital revolution, start-up and futuristic infrastructure development, he expressed confidence that India, the fifth largest economy in the world, was well positioned to become the third largest in a few years’ time. He noted that steady growth in India’s civil aviation, port, shipbuilding, digital payments and green development sectors have opened myriad opportunities for companies from Cyprus to partner with India. He further underlined the strengths of India’s skilled talent and start-up ecosystem and highlighted manufacturing, AI, Quantum, Semiconductor and Critical Minerals as new and emerging areas contributing to India’s growth story.

Prime Minister noted that Cyprus was a significant economic partner for India, particularly in the Foreign Direct Investment sector and welcomed the keen interest in Cyprus for new investments into the Indian economy. Highlighting the potential for business engagement in the financial services sector, the two leaders welcomed the signing of an MOU between NSE International Exchange GIFT CITY, Gujarat and Cyprus Stock Exchange. NIPL (NPCI International Payments Limited) and the Eurobank Cyprus reached an understanding on introducing UPI for cross border payments between the two countries which would benefit tourists and businesses. Prime Minister also welcomed the launch of the India–Greece–Cyprus (IGC) Business and Investment Council, which will foster trilateral cooperation in sectors such as shipping, logistics, renewable energy, civil aviation and digital services. Prime Minister welcomed the fact that many Indian companies see Cyprus as a gateway to Europe and hub for IT services, financial management, and tourism.

As Cyprus prepares to assume the Presidency of the EU Council next year, the two leaders reaffirmed their commitment to further strengthen India-EU Strategic Partnership. They expressed optimism about concluding the India-EU Free Trade Agreement by end of the year which would also give a major boost to trade and economic cooperation between the two countries. Prime Minister underlined that the business roundtable had given practical suggestions which would form the basis for a structured economic roadmap, ensuring long-term collaboration in trade, innovation and strategic sectors.

With shared aspirations and a future-focused approach, India and Cyprus are poised for a new era of dynamic and mutually beneficial economic cooperation.