Education: 5 university townships, girls hostel in each district among big announcements

“It is very important to recognise…today, in the private sector there are many universities. States are thinking that there should be more higher education centres. Considering this, we are bringing in more options in higher education, where all types of courses are offered in those hubs. Our students don’t need to go out…in case they don’t get a visa, or if they need to borrow. That quality of education should be there in India,” she said at the post-Budget press conference.

“States can, in challenge mode, say they are willing to give land…universities with different types of courses can come and set up, and this will also mean partnering with universities abroad…to give students who are going abroad the same quality of education here,” said Sitharaman.

Education Minister Dharmendra Pradhan on Sunday said this announcement can help provide an ecosystem for research, innovation, entrepreneurship, and knowledge.

In higher education, a fresh provision of Rs 200 crore has been made for the ‘Prime Minister Research Chair Scheme’. According to the Budget document, the scheme aims to create distinguished research chairs in identified priority areas to attract and retain eminent researchers in Indian higher education institutions. According to a proposal made before the IIT council, the apex coordination body of the IITs, last year, the scheme is meant to “attract and engage global talent of Indian origin.”

Pointing to challenges for girls in long hours of study and lab work at STEM institutions, Sitharaman announced that a girls’ hostel will be set up in every district through viability gap funding/capital support.

While the regulatory bodies (UGC and AICTE) and the IITs and IIMs have seen an increase in total support to them, key research institutions such as IISc and IISERs have seen a drop in allocation for the second consecutive year.

IISc has seen a 6% drop in allocation (from Rs 900 crore to Rs 845 crore). Last year, the institute had seen a drop from Rs 918.27 crore (in 2024-25) to Rs 900 crore.

The IISERs – seven in total – saw a 3% drop in allocation this year. The figure has dropped from Rs 1,540 crore in 2024-25 to Rs 1,353 crore in 2025-26 and Rs 1,319 crore this year.

The Indian Institutes of Information Technology (IIITs) – some have been set up in public-private partnership mode – have also seen a 15% dip in allocation from Rs 522 crore to Rs 441 crore.

In school education, the increase in total allocation includes a rise in provisions for Atal Tinkering Labs, NCERT and the Kendriya Vidyalaya Sangathan (KVS). Atal Tinkering Labs (allocation of Rs 3,200 crore), initially set up under the Centre’s Atal Innovation Mission in schools across the country, with equipment like 3D printers, tools and kits for STEM concepts including robotics and AI, are being set up in 50,000 government schools, as per last year’s budget announcement.

Pradhan said the 14% hike in allocation for NCERT (from Rs 593.71 crore to Rs 681.79 crore) is on account of the council now becoming a deemed-to-be university.

The allocation for PM-SHRI schools remains the same as last year, at Rs 7,500 crore.

Among other announcements for education are a new National Institute of Design in the eastern region, Animation, Visual Effects, Gaming and Comics (AVGC) content creator labs in 15,000 secondary schools and 500 colleges, and an ‘education to employment and enterprise’ standing committee that will assess the impact of emerging technologies like AI on jobs and skill requirements, and propose measures such as those to include AI in school curriculum.