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PM-SETU Scheme

Aug. 31, 2026

Recently, the Ministry of Skill Development and Entrepreneurship (MSDE), Government of India, in collaboration with the Government of Uttar Pradesh, today organized the PM-SETU Industry Conclave in Lucknow.

About PM-SETU Scheme:

  • PM-SETU (Pradhan Mantri Skilling and Employability Transformation through Upgraded ITIs) is a Centrally Sponsored Scheme launched to strengthen India’s vocational training ecosystem.
  • It aims to modernise the ITI ecosystem by upgrading 1000 government ITIs across India into modern, industry-aligned training institutions
  • Implementation: It is implemented as a hub-and-spoke model, with 200 hub ITIs linked to 800 spoke ITIs.
    • Each hub will be equipped with advanced infrastructure, innovation and incubation centres, production units, training of trainer facilities, and placement services, while the spokes will extend access and outreach. 
  • Objectives:
    • To improve the quality of training delivery in Industrial Training Institutes (ITIs) and National Skill Training Institutes (NSTIs)
    • To modernize infrastructure and equipment as per industry standards
    • To introduce industry-aligned long-term and short-term courses, especially in new and emerging sectors
    • To strengthen industry linkage for demand-driven skilling and better employment outcomes
    • To enhance the capacity of NSTIs for training of trainers
  • Financial outlay and Time Period: ₹60,000 crore, over a five- year period.
  • Nodal Ministry: Ministry of Skill Development and Entrepreneurship
  • Components of PM-SETU Scheme:
    • Introduce new, demand-driven courses and revamp existing ones in collaboration with industry;
    • Special Purpose Vehicles: Set up Special Purpose Vehicles (SPVs) with credible Anchor Industry Partners to manage clusters and ensure outcome-based training;
    • Create pathways for long-term diplomas, short-term courses, and executive programs;
    • Strengthen 5 National Skill Training Institutes in – Bhubaneswar (Odisha), Chennai (Tamil Nadu), Hyderabad (Telangana), Kanpur (Uttar Pradesh), Ludhiana (Punjab), as Centres of Excellence with global partnerships.

The initiative is backed by global co-financing from the World Bank and Asian Development Bank.

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