Sitharaman stated many ITIs lag industry needs; Centre launched hub-and-spoke model to upgrade them
New Delhi
The Union government will soon transform Industrial Training Institutes (ITIs) across India into Artificial Intelligence (AI)-driven training centres, Finance Minister Nirmala Sitharaman announced on Thursday. Speaking at the Indian Foundation for Quality Management’s annual symposium, she said the initiative is part of the government’s broader focus on skilling and upskilling the workforce.
Sitharaman explained that many ITIs have not kept pace with changing industry demands. To address this, the Centre has introduced a hub-and-spoke model to upgrade ITIs. “If these ITIs adopt the hub-and-spoke model within states, we will provide full funding for upgrading them into AI-driven training centres,” she stated.
She added that premier institutes like IITs and the Indian Institute of Science have been identified to spearhead AI-related research, development, and training. The aim is to ensure that AI skills are accessible to all youth — including school dropouts, graduates, and those seeking new qualifications. “These hubs will provide hands-on AI training to students,” she noted, emphasizing that several states have already expressed interest in adopting the model.
The finance minister highlighted the urgent need to prepare India’s youth for “quick and direct” employment in a fast-changing global job market. She urged private sector participation alongside government efforts to bridge gaps in human resource development.
“Many graduates lack adequate grooming to fit into large companies, whether Indian or multinational. The degree is there, but the personality and training are not fully rounded off. That element has to be addressed collectively,” she said.
By modernizing ITIs with AI-focused programs, the government hopes to equip India’s young workforce with future-ready skills and boost employability across industries.