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Maharashtra Approves Major Upgrade of ITIs Under PM‑Setu Scheme

Written by: Akshay ShivalkarUpdated on: 5 Feb 2026, 6:49 pm IST
State government clears ₹242 crore plan to modernise ITIs into advanced skill hubs aligned with industry needs.
Maharashtra Approves Major Upgrade of ITIs Under PM‑Setu Scheme
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Maharashtra has approved a large-scale initiative to upgrade Industrial Training Institutes (ITIs) into modern skill development hubs under the PM‑Setu scheme. The decision aims to improve employability and provide industry-ready training for youth across the state.

The move aligns with the government’s goal of addressing skill gaps in emerging sectors. The state cabinet finalised the plan during a meeting chaired by Chief Minister Devendra Fadnavis.

State Launches Modernisation Initiative Under PM‑Setu Scheme

The upgrade project is designed to transform ITIs into centres that can deliver practical, market‑linked training. The initiative draws from Prime Minister Narendra Modi’s broader vision of sustainable and inclusive development.

 According to State Skill Development Minister Mangal Prabhat Lodha, the goal is to produce job‑ready youth able to meet evolving industry needs. The first phase focuses on creating model upgraded institutes across select districts.

Modernisation Rollout in Key District Clusters

In the initial phase, ITIs in Nagpur, Chhatrapati Sambhaji Nagar and Pune will undergo significant infrastructure and curriculum enhancement. These districts have been selected to pilot the cluster‑based development model.

Additional districts are expected to be included in subsequent phases based on performance and readiness. The rollout will follow a structured cluster approach intended to maximise training efficiency.

Hub‑And‑Spoke Model to Improve Skill Delivery

The scheme adopts a “hub and spoke” model to streamline training operations across multiple centres. Each cluster will feature one hub ITI supported by four spoke ITIs to ensure standardised delivery.

The hub institute will introduce an average of 4 new courses and upgrade 10 existing programmes. Meanwhile, spoke institutes will add 2 new courses and improve 8 ongoing ones. The model aims to bridge long‑standing demand‑supply gaps in skilled manpower.

Investment Structure and Funding Responsibilities

The total approved investment for the scheme is ₹242 crore, jointly funded by the Centre, the state and industry partners. The Centre will contribute 50%, the state 33% and industry 17% under the cost‑sharing framework.

For one cluster over 5 years, the estimated cost is about ₹241 crore. This includes ₹112 crore from the Centre, ₹98 crore from the state and ₹31 crore from industry. The funding aims to ensure sustainability while promoting active industry participation.

Read More: Maharashtra Approves State Palliative Care Programme to Enhance Chronic Illness Support.

Conclusion

Maharashtra’s approval of the PM‑Setu‑based ITI upgrade marks a significant step towards building a skilled, industry‑ready workforce. The hub‑and‑spoke model and targeted funding are designed to improve training quality and access across districts.

With phased implementation, the state aims to bridge structural skill gaps and support long‑term economic growth. The initiative is set to strengthen the state’s vocational education ecosystem through modernised, demand‑driven training.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Published on: Feb 5, 2026, 1:17 PM IST

Akshay Shivalkar

Akshay Shivalkar is a financial content specialist who strategises and creates SEO-optimised content on the stock market, mutual funds, and other investment products. With experience in fintech and mutual funds, he simplifies complex financial concepts to help investors make informed decisions through his writing.

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