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EmploymentVerified 01 May 2026

PM SETU Scheme 2026 - Rs 60,000 Crore ITI Upgradation, 1,000 ITIs Hub-Spoke Model (Modi Flagship)

ABy Abhishek
6 min read
Updated: 1 May 2026
💰 Rs 60,000 Crore central scheme | Free training + future job placementOpen enrollment via ITI admission (annual)📋 Employment
PM SETU Scheme 2026 - Rs 60,000 Crore ITI Upgradation, 1,000 ITIs Hub-Spoke Model (Modi Flagship)

⚡ 30-SECOND SUMMARY

PM SETU Scheme 2026 = Pradhan Mantri Skilling Employability Transformation Upgraded ITIs. Rs 60,000 crore Modi flagship - 1,000 ITIs (200 hub + 800 spoke) upgrade. AI/EV/Drone/5G trades. World Bank + ADB funded.

Quick Overview

Scheme Type

Employment

Amount

Rs 60,000 Crore central scheme | Free training + future job placement

Type

Free Grant

Deadline

Open enrollment via ITI admission (annual)

📄 Complete Guide

PM SETU Scheme 2026 - Rs 60,000 Crore ITI Upgradation Modi Flagship

Bhaiyon, PM SETU Scheme = Pradhan Mantri Skilling + Employability Transformation through Upgraded ITIs - Modi government ka Rs 60,000 crore flagship vocational education initiative announced by PM Modi at Kaushal Deekshant Samaroh, Vigyan Bhawan. Centrally sponsored scheme 1,000 Government ITIs upgrade karega hub-and-spoke model mein - 200 Hub ITIs (National Centres of Excellence) + 800 Spoke ITIs with advanced labs, modern trades, digital learning. Future-ready trades: AI Programming + EV Mechanics + Drone Piloting + 5G Technician + Green Hydrogen + Cybersecurity. World Bank + ADB co-funding, 50+ industry partners (51% ownership Special Purpose Vehicles). ITI students ke liye on-job production training + incubation facilities + 83% govt co-funding for capex.

🎯 Bihar/UP/MP ITI students ke liye game-changer! Old PMKVY = short-term training. PM SETU = long-term ITI infrastructure transformation + industry-managed + globally-aligned skills.


PM SETU 2026 - Quick Info

Detail Information
Full Form Pradhan Mantri Skilling & Employability Transformation through Upgraded ITIs
Launch Date 4 October 2025 at Kaushal Deekshant Samaroh, Vigyan Bhawan, Delhi
Cabinet Approval 2025 (Union Cabinet)
Budget Rs 60,000 crore (central sponsored)
Target ITIs 1,000 (200 Hub + 800 Spoke)
Model Hub-and-Spoke (1 Hub : 4 Spokes avg)
Industry Partners 50+ anchor companies (51% SPV ownership)
Co-financing World Bank + Asian Development Bank
Timeline 10-year implementation roadmap
Implementing Body Ministry of Skill Development & Entrepreneurship (MSDE)
Apply Via existing ITI admission process

Budget Breakdown (Rs 60,000 Crore)

Source Amount
Central Government Rs 30,000 crore
State Governments Rs 20,000 crore
Industry Partners Rs 10,000 crore

Plus World Bank + ADB external co-financing for global standards alignment.


Hub-and-Spoke Structure (Game-Changer)

200 Hub ITIs (National Centres of Excellence)

  • Regional anchors with advanced infrastructure
  • AI labs + EV training centres + drone simulators
  • Industry-grade machinery + senior trainers
  • Incubation facilities for student entrepreneurs

800 Spoke ITIs

  • Smaller institutes linked to hubs
  • Resource + expertise sharing with hub
  • 1 Hub : 4 Spokes average ratio
  • Equal access to hub training opportunities

Industry Partner Role

  • SPV ownership: 51% Industry + 49% Government
  • Industry-managed, govt-owned structure
  • 50+ anchor companies (TATA, L&T, Maruti, Mahindra, Reliance Industries etc.)
  • Curriculum + training aligned to actual industry needs

5 Global Centres of Excellence (NSTIs)

Bhubaneswar | Chennai | Hyderabad | Kanpur | Ludhiana - National Skill Training Institutes designated as global benchmark centers.

Plus 1,200 Vocational Skill Labs

Established in Navodaya Vidyalayas + Eklavya Model Residential Schools = early skill exposure for tribal + rural students.

31 New-Age Courses

Under Craftsmen Training Scheme - advanced manufacturing, electronics, mobility, logistics + the future trades listed below.


Future-Ready Trades (Emerging Skills)

Sector Trades Covered
AI + Software AI Programming, Cybersecurity, Cloud Computing, Data Annotation
Mobility EV Mechanics + Battery Tech, Hybrid Vehicle Service
Aerospace Drone Piloting + Operator, Drone Maintenance
Telecom 5G Technician, Fiber Optic Installer
Green Energy Green Hydrogen Production, Solar Installation, Wind Turbine
Manufacturing Industry 4.0, Automation, 3D Printing, Robotics
Healthcare Medical Lab Technician, Nursing Assistant

Old ITI trades (Electrician/Fitter/Welder) continue + new future trades added.


Eligibility + Who Benefits

Direct Beneficiaries

  • ITI Students (current + future enrollments)
  • Age 14-35 years (per existing ITI norms)
  • 8th/10th pass (course-dependent)
  • Both Govt + private ITI students benefit (govt ITIs primarily upgraded)

Industry Benefits

  • 83% govt co-funding for capex (capital expenditure)
  • Industry-led curriculum design
  • Direct hiring pipeline from upgraded ITIs

Entrepreneur Benefits

  • Incubation facilities within Hub ITIs
  • Mentorship + funding access
  • Skill-to-startup pathway

How PM SETU Helps ITI Students

Before PM SETU: Outdated machinery, curriculum 5-10 yrs behind industry, weak placement, trainer skill gap.

After PM SETU: Modern industry-grade machinery + future-aligned curriculum + on-job training at partner factories + direct placement pipeline + AI/EV/Drone trade exposure.


Implementation Timeline (10 Years)

Phase 1 (2024-26): 200 hub ITIs setup. Phase 2 (2026-28): Spoke ITIs + curriculum rollout. Phase 3 (2028-30): Industry partnerships + first cohort placement. Phase 4 (2030-34): Full 1,000 ITIs operational + global alignment.


How to Benefit (Apply Path)

  1. Find nearest Hub/Spoke ITI under PM SETU (msde.gov.in list)
  2. Enroll in any ITI course (admission via state ITI counselling)
  3. Attend upgraded labs + training (auto-applied for enrolled students)
  4. Access on-job training at partner industry
  5. Placement assistance post-completion

NO separate application for PM SETU - existing ITI students automatically benefit.


PM SETU vs PMKVY 4.0 vs DDU-GKY

Feature PM SETU PMKVY 4.0 DDU-GKY
Type Long-term ITI upgrade Short-term skill course Rural youth training
Duration 1-3 years (ITI course) 3-12 months 3-12 months
Outlay Rs 60,000 crore Rs 12,000 crore Rs 5,000 crore
Target ITI ecosystem Unemployed 15-45 Rural BPL 15-35
Stipend Standard ITI stipend Rs 8,000 + Rs 5K/mo Rs 6,000
Industry Tie-up 51% SPV ownership Limited Limited

PM SETU 2026 FAQs

Q: PM SETU full form? A: Pradhan Mantri Skilling and Employability Transformation through Upgraded ITIs (Modi launched at Kaushal Deekshant Samaroh).

Q: Apply kaise karna? A: NO separate application - existing ITI students automatically benefit. Find nearest Hub/Spoke ITI list at msde.gov.in.

Q: Bihar me kitne ITIs cover honge? A: Bihar has 100+ Govt ITIs - several will be Hub/Spoke. Specific list MSDE notification ke saath aayega. Check Bihar Skill Development Portal.

Q: Stipend milega students ko? A: Standard ITI stipend continue (Rs 1,500-3,000/month state-wise). PM SETU specifically infrastructure + curriculum upgrade hai, NOT new stipend scheme.

Q: Old ITI trades continue rahenge? A: HAAN - Electrician, Fitter, Welder, COPA etc. continue. PM SETU me future trades added (AI/EV/Drone/5G/Green Hydrogen).

Q: Industry partners kaun? A: 50+ anchor companies - TATA, L&T, Maruti, Mahindra, Reliance, Bajaj, Kirloskar etc. 51% industry + 49% govt SPV.

Q: Placement guarantee? A: Strong placement pipeline through industry partners (not 100% guaranteed but significant improvement vs old ITIs).


Related Skill Development + Career Schemes


Source: PMIndia.gov.in (PM speech) + News On Air + NewsCanvassEdu + Curriculum Magazine + Drishti IAS + Shankar IAS Parliament cross-verified. PM SETU launch confirmed Kaushal Deekshant Samaroh 4 October. Verified 1 May 2026.

Page Last Updated: 1 May 2026

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Abhishek - SkillUP Bihar

Sarkari Yojana Researcher

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