Union Budget 2025-26, announced by Finance Minister Nirmala Sitharaman, reinforces education as a key driver of national progress. From a greater emphasis on regional languages and digital access to prioritizing skill-building initiatives and AI-driven learning, the government aims to bridge the gap and prepare students for a tech-driven future.
By easing financial pressures through GST relaxations and education loan tax benefits, these measures are all set to make learning more accessible to all. This strategic push positions India as a hub for innovation and inclusivity.
- Personalized Learning Through AI-Integration
To advance AI-driven learning, the government has allocated ₹500 crore to set up three Centres of Excellence on AI for education. These centers will develop AI-based tools and personalized learning solutions. Additionally, 50,000 Atal Tinkering Labs in government schools will promote hands-on STEM learning, fostering creativity and innovation.
- Expanding Access to Quality Education
A key challenge in India’s education system is accessibility to reliable learning resources, especially in rural areas. The BharatNet project will bring broadband to government schools, giving students better access to online learning. Moreover, the Bharatiya Bhasha Pustak Scheme will digitally provide Indian language books for students, making learning more accessible and improving understanding of subjects in their native languages.
- National Centres of Excellence for Skilling
The government will launch five National Centres of Excellence for Skilling, collaborating with global experts to train instructors, design top-tier curricula, and introduce a skills certification framework. These centers will provide world-class vocational training, ensuring students are well-prepared for future job opportunities.
- Affordable Education For All
Removal of Tax Collected at Source (TCS) on educational remittances when payments are made through loans from recognized banks is likely to ease financial burden and support students pursuing higher studies. These measures will make quality education more affordable, ensuring more students can access learning without heavy financial strain. South Indian Banks offer tailor-made education loans designed to fit every student's needs. With flexible repayment options and low-interest rates, these loans provide the financial support needed to pursue higher education with ease.
- Expansion of Medical Education
To meet the rising need for healthcare professionals, 10,000 new medical seats will be added next year. This is part of a larger goal to create 75,000 additional seats over five years, strengthening India’s medical workforce.
- Boosting IIT Infrastructure
Student capacity at 23 IITs has doubled in a decade, rising from 65,000 to 1.35 lakh. To support growth, five IITs established after 2014 will receive new infrastructure, adding 6,500 more seats.
The Union Budget paves the way for a future-ready education system, where students and institutions can thrive in a dynamic global landscape.
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