Published: 8 October 2025PIBGovernance
PM SETU Scheme: ₹60,000 Crore Plan to Upgrade 1,000 ITIs Launched October 4
PM-SETU (Pradhan Mantri Skilling and Employability Transformation through Upgraded ITIs), launched October 4, 2025, aims to transform 1,000 Government Industrial Training Institutes into modern institutions. The total project cost is ₹60,000 crore over a five-year period, jointly supported by Centre and States.
The scheme uses a Hub-and-Spoke model: 200 Hub ITIs with advanced facilities and 800 Spoke ITIs providing wider access. Each cluster is managed by a Special Purpose Vehicle (SPV) with 51% stake held by Anchor Industry Partners and 49% by government. Industry partners can receive up to 83% in government co-funding. The Ministry of Skill Development and Entrepreneurship (MSDE) is the nodal ministry. Around 2 million youth are expected to benefit over five years.
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CoverageNationalTypeSchemeSubjectEconomicExamBasic Computer Instructor · CET Graduation · CET Senior Secondary · EO/RO · LDC · Mahila Supervisor · Patwar · PTI · RAS · REET · RPSC SI · School Lecturer · Senior Computer Instructor · Senior Teacher · UPSC · Vanpal · BothSourcePIB
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Linked questionMedium
Under the PM-SETU scheme, how many Hub ITIs and Spoke ITIs are planned?
Explanation · Correct answer BPM-SETU uses a Hub-and-Spoke model with 200 Hub ITIs having advanced facilities and 800 Spoke ITIs for wider access. Total: 1,000 ITIs at ₹60,000 crore over 2025-2028.
Frequently asked questions
What is PM-SETU scheme launched in October 2025?
**PM-SETU (Pradhan Mantri Skilling and Employability Transformation through Upgraded ITIs)** was launched on **October 4, 2025**, to transform 1,000 Government ITIs into modern institutions with ₹60,000 crore over a five-year period. It uses a Hub-and-Spoke model with 200 hub and 800 spoke ITIs.
What is the SPV model in PM-SETU?
In PM-SETU, each cluster is managed by a **Special Purpose Vehicle (SPV) with 51% stake held by Anchor Industry Partners and 49% by the government.** Industry partners can receive up to 83% government co-funding, ensuring industry-managed but government-owned ITIs.
How many youth will benefit from PM-SETU scheme?
**Around 2 million (20 lakh) youth are expected to benefit from PM-SETU over five years.** The scheme aims to transform 1,000 ITIs using ₹60,000 crore, creating industry-aligned skill development centres to address India's skill-employment gap.
Which ministry is the nodal ministry for PM-SETU?
The **Ministry of Skill Development and Entrepreneurship (MSDE)** is the nodal ministry for PM-SETU. The scheme receives co-financing from **World Bank and Asian Development Bank** alongside domestic Centre-State funding, reflecting its significance as a national skill transformation initiative.
What advanced features will PM-SETU Hub ITIs have?
**PM-SETU Hub ITIs will have advanced infrastructure, modern trades, digital learning systems, and incubation facilities.** Each hub will be connected to four spokes, creating clusters that are government-owned but industry-managed through Anchor Industry Partners in a Special Purpose Vehicle framework.
