PM-SETU Scheme
 
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PM-SETU Scheme

Thu 09 Oct, 2025

Context:

In a strategic push to modernize India’s vocational education and strengthen industry-aligned skills training, Prime Minister Narendra Modi has launched PM-SETU (Prime Minister’s Scheme for Empowerment through Technology Upgradation). This ambitious scheme is set to transform government-run Industrial Training Institutes (ITIs) and revolutionize India’s skilling landscape.

Objectives:

  • Upgrade outdated training facilities in ITIs and align them with global industry demands.
  • Promote a “Government-owned, Industry-managed” model to ensure relevance and practical skills.
  • Bridge the gap between theoretical learning and real-world employment needs.
  • Prepare India's youth to meet 21st-century skill challenges globally and domestically.

Key Features:

Feature Details
Hub-and-Spoke Model 200 ITIs will serve as Hubs, each connected to 4 Spoke ITIs (total 800).
Modern Infrastructure Includes smart classrooms, advanced machinery, AI labs, digital libraries, and innovation centers.
Industry Collaboration Each ITI cluster will be anchored by industry partners like CII, FICCI, or regional chambers for internships, placements, and mentorship.
Skill Innovation Ecosystem Hubs will function as training-of-trainers centers, and start-up incubation hubs.
Sectoral Focus Emphasis on manufacturing, agriculture, hospitality, and emerging technologies like AI, robotics, EV, green energy.
Funding Structure ₹60,000 crore over 2025–2028, jointly funded by Centre and States.

Significance:

  1. Strengthening Vocational Education: With over 70% of India's workforce still in the informal sector, PM-SETU will empower youth with formal technical skills.
  2. Boosting Employment: Modern training and real-time industry exposure will increase employability and entrepreneurship.
  3. Catalyst for Industry 4.0: Digital upgradation of ITIs will help India gear up for the Fourth Industrial Revolution.
  4. Balanced Regional Growth: ITIs in both urban and rural India will benefit, helping reduce urban migration.
  5. Global Competitiveness: PM-SETU will align India’s workforce to international skill standards, helping in global labor mobility.

Challenges Ahead:

  • Ensuring effective execution and utilization of allocated funds at the grassroots level.
  • Bridging the urban-rural digital divide.
  • Building capacity among trainers and administrators in ITIs to adopt new pedagogy.
  • Need for continuous industry feedback to remain updated with evolving job demands.

population, driving economic growth and social inclusion.

Similar Government Skill Development Schemes

Scheme Name Year Launched  Nodal Ministry
Pradhan Mantri Kaushal Vikas Yojana (PMKVY) 2015 Ministry of Skill Development & Entrepreneurship
Skill India Mission 2015 Ministry of Skill Development & Entrepreneurship
SANKALP (Skill Acquisition & Knowledge Awareness for Livelihood Promotion) 2017 MSDE
STRIVE (Skills Strengthening for Industrial Value Enhancement) 2017 MSDE
Udaan Scheme 2011 MSDE & NSDC
Deen Dayal Upadhyaya Grameen Kaushalya Yojana 2014 Ministry of Rural Development
National Apprenticeship Promotion Scheme (NAPS) 2016 MSDE
PM-DAKSH Yojana 2020 Ministry of Social Justice & Empowerment
     

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