Edu Budget 2025: FM announces 1.28 lakh crore for school and higher education

Union Finance Minister Nirmala Sitharaman announced the Union Budget 2025 today, in the Parliament, allocating 1.28 lakh crore to the education sector, marking a 6.65% increase from the previous year. The budget includes funding for the Department of School Education and Literacy and the Department of Higher Education.

Out of the total budget, Rs 78,572.10 crore has been allocated to the Department of School Education and Literacy to strengthen school education and support various initiatives aimed at improving the quality of schooling across the country. Additionally, Rs.50,077.95 crore has been allocated to the Department of Higher Education to facilitate the growth and expansion of higher education institutions in India. It is expected that this significant increase in the education budget allocation will enhance the education quality, support research, innovation and expand access to higher learning opportunities for all.

Education Budget 2025: Break down of allocation

PM Schools for Rising India (PM SHRI): The education budget allocation saw an increase of Rs 1,450 crore, taking the total to Rs 7500 crore. This initiative aims to upgrade over 15,000 schools to align with the National Education Policy (NEP) 2020.

Samagra Shiksha and Pradhan Mantri Poshan Shakti Nirman (PM POSHAN) initiatives under the National Education Mission received an allocation of Rs 41,250 crores and Rs 12,500 crores respectively, both initiatives received an increased budget allocation from the previous year.

New India Literacy Programme (NILP) and Strengthening Teaching-Learning and Results for States (STARS) have received an allocation of



Rs 1,250 crores and Rs 160 crores respectively for both initiatives.

Education Budget 2025: Key Intiatives in Skilling, Education, and Innovation

PM Research Fellowship Scheme: In a move to boost technology innovation, the government has planned to provide 10,000 fellowships for technological research in IITs and IISc with enhanced financial support under the PM Research Fellowship scheme over the next five years. 

Atal Tinkering Labs: 50,000 Atal Tinkering Labs will be set up in Government schools in the next 5 years.

National Centres of Excellence: Five National Centres of Excellence for Skilling will be established with global expertise.

Broadband connectivity (Bharat Net) will be provided to all Government secondary schools and primary health centres in rural areas.

Bharatiya Bhasha Pustak Scheme will introduced to provide digital-form Indian language books for school and higher education.

Additional infrastructure will be created in the 5 IITs started after 2014 to facilitate education for 6,500 more students. (Total number of students in 23 IITs has increased 100 per cent from 65,000 to 1.35 lakh in the past 10 years.)

Centre of Excellence in Artificial Intelligence for education will be set up with a total outlay of Rs 500 crore.

Additional medical seats: In the next year, 10,000 additional seats will be added in medical colleges and hospitals, towards the goal of adding 75,000 seats in the next 5 years. (Govt has added almost 1.1 lakh UG and PG medical education seats in 10 years, an increase of 130 per cent.)