Education Budget 2024: Key Allocations and Highlights
Union Finance Minister Nirmala Sitharaman unveiled the much-anticipated Education Budget for 2024-25, marking a significant increase in overall allocations. The Education Ministry's budget has seen a 6.8% rise, now standing at ?1.48 lakh crore, reflecting the government's renewed commitment to enhancing the educational landscape of India.
Financial Support for Higher Education
In a landmark move, the government has introduced a robust financial support system for higher education. Students pursuing higher education within domestic institutions can now avail of loans up to ?10 lahks. This initiative aims to ease financial constraints by introducing an e-voucher system designed to streamline the loan process.
Internship Scheme to Boost Employability
The budget also brings exciting news for young professionals. A new scheme promises internships for 1 crore youth at 500 leading companies. Each intern will receive a monthly stipend of ?5,000 along with a one-time assistance of ?6,000, funded through Corporate Social Responsibility (CSR) contributions. This move is expected to bridge the gap between education and practical work experience.
Skill Development Initiatives
In a bid to address skill shortages, the budget outlines a central scheme to skill 20 lakh youth over the next five years. Additionally, 1,000 Industrial Training Institutes (ITIs) will undergo significant upgrades, aligning course content with industry demands to enhance employability.
Funding Adjustments for Universities
While the budget boosts allocations for central universities by over ?4,000 crore, increasing the total to ?15,928 crore, funding for the University Grants Commission (UGC) has been notably reduced by 60.99%, dropping to ?2,500 crore. This adjustment has raised concerns and discussions among stakeholders about its implications for academic institutions.
Introduction of National Research Fund
A major highlight of the budget is the establishment of the Anusandhan National Research Fund, with a substantial corpus of ?1 lakh crore. This fund is poised to strengthen India’s research and development ecosystem, focusing on both basic and applied research.
Interim Budget Highlights
In addition to the education sector’s advancements, the interim budget for FY25 includes a capital expenditure target of ?11.11 lakh crore, aiming to stimulate infrastructure growth. The fiscal deficit has been targeted at 4.9% of GDP, and notable tax changes include the removal of angel tax for startups and a reduction in the corporate tax rate for foreign companies.
Overall Budget Allocation
| Category |
Amount (? Crore) |
Change |
| Total Education Budget |
1,48,000 |
+6.8% increase |
Higher Education
| Initiative |
Details |
| Financial Support for Higher Education |
Loans up to ?10 lakh for students in domestic institutions. |
| E-Voucher System |
Facilitates loan process for students. |
Skill Development
| Initiative |
Details |
| Internship Scheme |
Internships for 1 crore youth at 500 companies. Stipend of ?5,000/month and one-time assistance of ?6,000. Funded by CSR contributions. |
| Skill Development Scheme |
Skilling 20 lakh youth over 5 years. |
| Upgradation of ITIs |
1,000 Industrial Training Institutes to be upgraded, with courses aligned to industry needs. |
University Funding
| Category |
Amount (? Crore) |
Change |
| Central Universities |
15,928 |
+4,000 |
| University Grants Commission (UGC) |
2,500 |
-60.99% |
Research and Development
| Initiative |
Details |
| Anusandhan National Research Fund |
Corpus of ?1 lakh crore to boost research and innovation. |
Additional Highlights
- Focus Areas: Enhanced support for higher education, skill development, and research.
- Sector Goals: Improving employability, bridging the gap between education and industry requirements, and fostering innovation through increased R&D funding.
The 2024-25 Education Budget reflects a strategic push towards empowering the youth, improving educational facilities, and supporting research initiatives, setting a promising path for India's educational and economic growth.
