Skill India Programme gets Rs 8,800 crore outlay; PMKVY 4.0 to address evolving needs of industry

The Union Cabinet chaired by Prime Minister Narendra Modi on February 7 approved the continuation and restructuring of the ‘Skill India Programme (SIP)’ till 2026 with an outlay of Rs 8,800 crore for the period from 2022-23 to 2025-26.

Three components—Pradhan Mantri Kaushal Vikas Yojana 4.0 (PMKVY 4.0), Pradhan Mantri National Apprenticeship Promotion Scheme (PM-NAPS), and the Jan Shikshan Sansthan (JSS) scheme—are now combined under the composite central sector scheme, SIP.

During a press briefing, Union minister Ashwini Vaishnaw emphasized that this decision highlights the government’s dedication to developing a skilled and future-ready workforce through demand-driven, technology-enabled, and industry-aligned training nationwide.

“Pradhan Mantri Kaushal Vikas Yojana 4.0 (PMKVY 4.0), the Pradhan Mantri National Apprenticeship Promotion Scheme (PM-NAPS), and the Jan Shikshan Sansthan (JSS) Scheme – the three key components, are now combined under the composite Central Sector Scheme of Skill India Programme,” Union minister Ashwini Vaishnaw added.

“These initiatives aim to provide structured skill development, on-the-job training, and community-based learning, ensuring that both urban and rural populations, including marginalised communities, have access to high-quality vocational education,” as per an official statement released after the cabinet meeting.

To keep pace with evolving industry demands and the advent of new-age technologies, the Rs 6,000 crore PMKVY 4.0 scheme will provide 400+ new courses on artificial intelligence, 5G technology, cybersecurity, green hydrogen, drone technology, among others. The scheme also places a strong emphasis on international mobility, ensuring Indian workers are equipped with globally recognised skills.

“A key shift under the scheme is the integration of on-the-job training within short-term skilling programmes, ensuring that trainees gain real-world exposure and industry experience. Also, through cross-utilisation of existing infrastructure and to expand access to quality training, skill hubs have been established across premier academic institutions. To enhance efficiency, procedural changes have been introduced, including the realignment of the demand assessment strategy to better identify sectoral skill gaps and industry needs,” the statement said.

Pradhan Mantri Kaushal Vikas Yojana 4.0 (PMKVY 4.0)

The Pradhan Mantri Kaushal Vikas Yojana 4.0 or PMKVY 4.0 scheme provides NSQF aligned skill development training through Short-Term Training (STT) including Special Projects (SP) and reskilling and upskilling through Recognition of Prior Learning (RPL) with its target beneficiary being 15-59 years of age. The Pradhan Mantri Kaushal Vikas Yojana 4.0 (PMKVY 4.0) has undergone transformational changes to make skill development training industry oriented, aligned with national priorities with increased accessibility. A key shift under the scheme is the integration of On-the-Job Training (OJT) within short-term skilling programs, ensuring that trainees gain real-world exposure and industry experience. To keep pace with evolving industry demands and advent of new age technology, 400+ new courses on AI, 5G technology, Cybersecurity, Green Hydrogen, Drone Technology, have been introduced, focusing on emerging technologies and future skills.

The blended and flexible learning model now incorporates digital delivery, making training more flexible and scalable. To provide targeted, industry-relevant skills, enabling learners to upskill, reskill, and enhance employability in high-demand job roles, the program introduces micro-credential and National Occupational Standards (NoS)-based courses ranging from 7.5 to 30 hours.

To maximize cross utilization of existing infrastructure and to expand access to quality training, Skill Hubs have been established across premier academic institutions, including IITs, NITs, and Jawahar Navodaya Vidyalayas (JNVs), Kendriya Vidyalayas, Sainik Schools, Eklavya Model Residential Schools (EMRS), PM Shri Schools, Toolrooms, NILET, CIPET etc. PMKVY 4.0 ensures industry-aligned training with curriculum available in multiple regional languages, making skilling more inclusive and accessible. Over 600 trainee and trainer handbooks have been translated into eight regional languages to enhance learning outcomes.

To strengthen quality training and assessments, a national pool of one lakh assessors and trainers is being developed, ensuring standardization and expertise across training centers. Industry partnerships ensure access to employment opportunities through Recruit Train Deploy (RTD) training.

Additionally, the scheme places a strong emphasis on international mobility, ensuring Indian workers are equipped with globally recognized skills. Ministry has Mobility Partnership Agreements (MMPAs) and MoUs with various countries and has conducted necessary sectorial skill gap studies. Under the scheme, enablement of training in domain skills, joint certifications, language proficiency, and soft skills have been initiated to enhance the international mobility opportunities for our workforce.

Under PMKVY 4.0, a whole-of-government approach has been adopted to drive inter-ministerial convergence, ensuring the seamless execution of skilling initiatives across sectors. The scheme caters to the skilling components of various skill development and entrepreneurship schemes, maximizing impact and resource efficiency. Key collaborations include PM Vishwakarma under the Ministry of Micro, Small & Medium Enterprises, PM Surya Ghar: Muft Bijli Yojana, and the National Green Hydrogen Mission of the Ministry of New and Renewable Energy, NAL JAL Mitra etc.

To enhance efficiency, procedural changes have been introduced, including the realignment of the demand assessment strategy to better identify sectoral skill gaps and industry needs. A key reform in PMKVY 4.0 is the “Ease of Doing Business” approach, which has significantly reduced the compliance burden, making participation in the scheme more streamlined and efficient.

PM National Apprenticeship Promotion Scheme (PM-NAPS)

The National Policy on Skill Development and Entrepreneurship, 2015 focuses on apprenticeship as one of the key components for creating skilled manpower in India. Apprenticeship training can play a major role for on-the-job vocational training where youth can acquire skills by working at actual workplace and earn some stipend, at the same time, to financially support himself. Apprenticeship is considered, globally as well, as the best model for skill acquisition and earning while learning.

The Pradhan Mantri National Apprenticeship Promotion Scheme (PM-NAPS) supports seamless transition from education to work, ensuring apprentices gain industry-specific skills through real-world exposure. To support both apprentices and establishments in India, 25% of the stipend, up to Rs.1,500 per month per apprentice, will be provided through Direct Benefit Transfer (DBT) during the training period, provided by the Central Government. The scheme is designed for individuals aged 14 to 35 years, ensuring inclusive access to skill development opportunities across various demographics.

NAPS encourages apprenticeship opportunities in prevailing manufacturing including emerging fields such as AI, robotics, blockchain, green energy, and Industry 4.0 technologies. This aligns skilling initiatives with futuristic job markets and industry trend. The scheme also encourages enrolment of apprentices in small establishments especially Micro, Small and Medium Enterprises (MSMEs), and those located in the underserved areas such as aspirational districts and North-East Region.

Jan Shikshan Sansthan (JSS) scheme

The Jan Shikshan Sansthan (JSS) scheme is a community-centric skilling initiative designed to make vocational training accessible, flexible, and inclusive, particularly for women, rural youth, and economically disadvantaged groups and caters to the age group of 15 -45 years of age. By delivering low-cost, doorstep training with flexible schedules, JSS ensures that skilling opportunities reach those who need them the most, fostering both self-employment and wage-based livelihoods. Beyond skill development, the program plays a vital role in social empowerment, creating awareness on health, hygiene, financial literacy, gender equality, and education within communities JSS is linked with key initiatives of the Government like: PM JANMAN, Understanding of Lifelong Learning for All in Society (ULLAS), etc. to promote inclusive skilling.

Aligned with national frameworks, all certifications under the Skill India Program are mapped to the National Skills Qualification Framework (NSQF) and seamlessly integrated with DigiLocker and the National Credit Framework (NCrF), ensuring formal recognition of skills and enabling smooth transitions into employment and higher education.

With the continuation of the Skill India Programme, the government seeks to reinforce its commitment to lifelong learning, recognizing the importance of continuous upskilling and reskilling in today’s rapidly changing employment landscape. The initiative will directly contribute to the Periodic Labour Force Survey (PLFS) data, ensuring that workforce development policies remain aligned with economic and industrial trends.

The Skill India Programme plays a crucial role in equipping India’s workforce with the skills needed to thrive in a rapidly evolving global economy. By integrating industry-relevant training, emerging technologies, and international mobility initiatives, the program aims to create a highly skilled and competitive workforce. As a key driver of economic empowerment, Skill India contributes to employment generation, entrepreneurship, and productivity enhancement across sectors. The Ministry of Skill Development & Entrepreneurship (MSDE) remains committed to strengthening vocational education, expanding apprenticeship opportunities, and fostering lifelong learning, ensuring that India’s workforce is future-ready and positioned as a global leader in skill-based employment.