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Picture Courtesy: education21.in

Context:

Cabinet approves a Rs 60,000 Cr scheme to upgrade ITIs and set up National Skilling Centres to boost vocational training in India.

Detail

The National Scheme for ITI Upgradation and Setting up of Five National Centres of Excellence for Skilling is a Centrally Sponsored Scheme designed to revamp the vocational education system.

The scheme has three main goals:

Hub-and-Spoke Model for ITI Upgradation => Upgrades 1,000 government ITIs to act as hubs (main centers) and spokes (smaller connected centers). 

• This model ensures efficient resource sharing and consistent training quality across regions. 
• Courses will be designed in collaboration with industries to ensure relevance.

Strengthen five National Skill Training Institutes (NSTIs) in Bhubaneswar, Chennai, Hyderabad, Kanpur, and Ludhiana. 

• Each NSTI will host an National Centres of Excellence (NCOE), offering advanced training programs aligned with the National Skill Qualification Framework (NSQF) levels 5 to 8.
• These programs focus on high-end technical skills like AI, cybersecurity, and digital pattern-making, which are in short supply in India.

Train 20 lakh youth over five years to meet the skill demands of high-growth sectors like electronics, automotive, and renewable energy. It emphasizes local workforce alignment with regional industry demands.

The scheme operates with a total budget of ₹60,000 crore, funded as:

• Central Government: ₹30,000 crore (50% co-financed by the Asian Development Bank and World Bank).
• State Governments: ₹20,000 crore.
• Industry: ₹10,000 crore.

This collaborative funding model ensures shared responsibility among the government, states, and private sector to transform ITIs into aspirational institutes.

Source: 

PIB