Budget 2023 promises to train students, teachers for the job market

FM announced establishment of 30 Skill India International Centres across different states, launch of a unified Skill India Digital platform for enabling demand driven formal skilling

Budget 2023 sent positive signals for bridging the gap between the skill-development system and traditional degree education.

Finance Minister Nirmala Sitharaman announced that the District Institutes of Education and Training will be developed for re-formulating teachers’ training through curriculum, professional development, and surveys.

Sitharaman promised to provide stipend to 47 lakh youth in the next three years—a target that will be accomplished through Direct Benefit Transfer initiated under the India National Apprenticeship Promotion Scheme that will be rolled out soon. She announced the establishment of 30 Skill India International Centres in states and the launch of a unified Skill India Digital platform for demand-driven formal skilling.

The focus came on the back of industry complaints that the training course and curriculum, as well as the practical skill imparted under Pradhan Mantri Kaushal Vikas Yojana (PMKVY), did not align with industry requirements. Arecent report by the Parliamentary Standing Committee on Labour, Textiles and Skill Development acknowledged this.

“Under PMKVY 4.0, on-job training, industry partnership, and alignment of courses with needs of industry will be emphasised. The scheme will also cover new age courses for Industry 4.0 like coding, AI, robotics, mechatronics, IOT, 3D printing, drones, and soft skills,” Sitharaman said.

The centre will recruit 38,800 teachers and support staff for the 740 Eklavya Model Residential Schools, serving 3.5 lakh tribal students, over the next three years. The plan to boost Ekalavya schools is part of the larger plan to improve the socio-economic conditions of the particularly vulnerable tribal groups (PVTGs).

The PVTG Development Mission will allocate Rs 15,000 crore to help the development of facilities such as safe housing, clean drinking water and sanitation, improved access to education, health and nutrition, road and telecom connectivity, and sustainable livelihood opportunities.

The finance minister also highlighted that the tourism and lab grown diamonds is an emerging field that has immense opportunities for youth employment. Sitharaman also proposed a reduction in Basic customs duty on artificial diamond seeds to promote job creation.

Sitharaman also announced the PM Vishwakarma Kaushal Samman (PM VIKAS) a package of assistance for artisans and craftworkers which will enable them to improve the quality, scale, and reach of their products, integrating them with the MSME value chain.

The components of the scheme will include financial support, access to advanced skill training, knowledge of modern digital techniques, brand promotion, linkage with local and global markets, digital payments, and social security. PM VIKAS is aimed at benefiting the Scheduled Castes, Scheduled Tribes, OBCs, women, and people belonging to the weaker sections.

Here's how experts said about the Budget proposals.

Taral Pathak, Assistant Professor, Business Management, MICA, Ahmedabad:

To begin with, there is an improvement in the gross enrollment ratio (GER) and gender parity in schools. GER’s have improved at Primary, Upper Primary and Secondary levels for girls as well as boys. These ratios were stagnant between F717 and FY19 but improved in FY22. At the same time school dropout rates have dropped steadily specially for girls (from 14.5% in 2013-14 to 12.3% in 2021-22). This is primarily due to Samagra Siksha, RTE Act, improvement in school infrastructure, residential hostel buildings, availability of teachers, regular training of teachers, free textbooks, uniforms for children, Kasturba Gandhi Balika Vidyalaya and the PM POSHAN Scheme.

I am very hopeful and excited by the launch of Centrally Sponsored Scheme (CSS) called PM Schools for Rising India (PM SHRI).

Vikas Aggarwal, Partner - Government and Public Sector, EY India

While education as sector may not have seen big-bang announcements, it is good to see Budget 2023 linking back with recent policy developments. A good example is that of the announcement on revitalising DIETs and their transformation into vibrant Institutes of Excellence and how it ties back to the NEP 2020 demonstrating synergies in letter, spirit and action.

Koneru Satyanarayana Chancellor at KL Deemed to be University

"The budget for this year has taken an inclusive and progressive approach, with greater emphasis on capacity-building, teacher training, and youth empowerment.  It is definitely encouraging to witness newer initiatives getting adopted for promoting digitalisation in India.

The launch of the National Digital Library will aid in the promotion of the country's reading culture and increase accessibility. Also, upskilling the youth in new age courses such as robotics, artificial intelligence, and drones through the PM Kaushal Vikaas Yoajna 4.0 and industrial collaboration would increase employability and help address the digital gap.

The current emphasis on recruiting a large number of teachers and developing a sustained teacher training programme that equips them with multilateral skills would go a long way toward boosting the educational quality of the country".

Anup Jain, Managing Partner at Orios Venture Partners

"The budget lays out the importance of skilling to sustain India's growth in the coming years. As the world's most populous and young country at that, we have a large gap between curriculum and industry requirements built over years. The upskilling announcements to upscale the digital ecosystem for skilling the youth along with the launch of Pradhan Mantri Kaushal Vikas Yojna 4.0 are a big boost to making our 40million students enrolled in different graduate courses ready to be employed in different sectors of the economy in the coming years. Orios began investing in this space with Nxtwave which educates India's engineers from lesser-known colleges in small towns of India into job-ready professionals".