Budget 2016: Govt to allot 1700cr for Skill Development

    education budget

    On Monday Govt has announced the several several important announcements.

     Following are the highlights of Education Budget 2016: 

     Primary education under the Sarva Shiksha Abhiyan will continue be a focus

    • INR 1000 cr for Higher education, research institutes will be set up for quality education – which is the focus
    • A higher education financing agency to be set up
    • A digital depository for school leaving certificates
    • Through the Pradhan Mantri Kaushal Vikas Yojana, the Govt. will train 76 lakh youth in association with NSDC
    • 1500 multi skill schools and academies will be set up for this purpose
    • Entrepreneurship will be pushed
    • INR 1700cr will be allotted to his Yojana for skill development
    • NSDC will tie up with academies and other small bodies for skill enhancement and entrepreneurship training
    • Objective reach out to remote areas, 2200 colleges and 300 schools will be reached out and training about 1 cr youth in the next three years.

    Anish Srikrishna, President, Times Center for Learning Limited says, “The budget attempts to ensure targeted delivery of benefits to those who need it the most. The need of the hour being skilled manpower, job creation and entrepreneurship; allocation of funds for skill development and
    establishment of multi skill training institutes is a welcome move. This budget is a realistic one, with focus on critical areas such as education,
    employability, rural development, agriculture and infrastructure development. The budget is promising and will help in the journey to make India a knowledge – based productive economy.

    “From perspective of education sector, the annual budget has a lot of focus on skilling, new job creation and research focused higher education which would help in new job creations both in manufacturing and service sector. The greater focus on training and entrepreneurship especially in the rural sector will help in faster economic revival and overall development. “Said Mr. Nikhil Mahajan, ED & CFO, CL Educate

     “Budget 2016-17 seems promising for India’s youth – whether it is about quality of education, focus on skill development, improving teaching and research outcomes, emphasis on job creation or creating an ease of business to promote entrepreneurship. It is good that the Public Private Partnership model has worked reasonably well for the skills ecosystem which needs to be given more encouragement. The setting up of 1500 Multi Skill Training Institutes (MSTIs) is a great PPP initiative that will give major boost to skill development while the National Skill Assessment & Certification Board with both government and industry representation, will be instrumental in ensuring quality assessment of the skilled workforce that gets trained.The continuity in tax benefits available under section 35CCD to training institutes till 2020 is also encouraging to the skill ecosystem.” S Ramadorai, Chairman, National Skill Development Agency (NSDA) and National Skill Development Corporation (NSDC) said.

     The Spokesperson CEO of KOOH Sports, Chirag Patel, said that, for the first time we are seeing a comprehensive boost to facilitate entrepreneurs to start-up through a slew of policies and support. Changes to Companies Act, Tax holidays are all important measures. At the same time there is recognition that job creation requires skilling of the workforce because just placing the youth through higher education is also not enough. The government has put the entire value chain of education and skill development at the forefront to support demand that is expected to be generated first in rural, infrastructure, social sectors with a virtuous effect on all other sectors. Businesses will need to hire new skilled staff and even here there is a policy accommodation through the pension scheme. For example sports education and training of kids is a new sector and will need thousands of physical education teachers and coaches that need to be skilled for improving health, fitness and sports outcomes. NSDC as an implementing agency has recognized not just in supporting the development of new sectors likes ours in sports education but is also driving traditional sectors across manufacturing and service sectors towards the skilling mission. Overall this budget is about setting a new foundation to drive entrepreneurial growth and enhance skill development in our economy.

     Mr. Piyush Agrawal, CEO & Founder, SuperProfs, “As an entrepreneur, I feel that the proposed education budget is a good move, on the whole, for the education sector in India. There are perhaps a couple of areas of concerns – A corpus of 1,000cr has been allocated for education loans but it is unclear as to how this will resolve the outstanding educational loans of around Rs. 50,000cr.  On a different note, the impetus provided towards job creation and setting up of model career centres is a welcome move. The decision of setting up 1500 skill training institutes across the country, will hopefully create skilled youth and open up employment opportunities in each sector. The boost to the focus on entrepreneurship also is a move in the right direction.”