As the Union Budget 2025 approaches, the spotlight shines on two critical sectors—education and start-ups. Experts are advocating for increased budgetary allocations to bolster AI integration in education and extend meaningful support to tech start-ups. These measures are seen as crucial to preparing India’s youth for a competitive future and positioning the nation as a global leader in technology and innovation.
Call for a Dedicated AI Education Budget
Highlighting the transformative potential of artificial intelligence (AI) in education, Mridu Andotra, Founder & CEO of Genius Mentor, remarked: “I believe the Indian education system is on the cusp of a technological revolution, and the upcoming budget presents a crucial opportunity to solidify our commitment to integrating AI into the learning experience.”
The National Education Policy (NEP) 2020, along with its 2024 updates, has already set the stage for this revolution. However, Andotra emphasised that the INR 10,300 crore allocated to the IndiaAI Mission in the 2024-25 budget has a broader focus and does not cater specifically to education.

To empower India’s youth and make the nation a leader in AI, Andotra suggested increasing the allocation for AI in education to 5-10% of the overall education budget. This would include investments in:
– AI infrastructure such as high-speed internet and advanced digital tools.
– AI labs in schools and colleges.
– Upskilling educators in AI pedagogy.
– Hands-on learning experiences for students.
She drew comparisons with global competitors: “China and the US are investing heavily in AI education, and the US government is actively supporting AI integration in K-12 education. India needs to ramp up its investment to remain competitive and ensure its students are equipped for the future.”
Support for EdTech Start-ups
The role of start-ups in reshaping India’s education and workforce ecosystem cannot be overstated. According to Ram Ramalingam, Founder & CMO of Genius Mentor: “Tech start-ups in India, especially the ones in the education domain, will directly impact the quality of the Indian workforce in the global scene.”

Ramalingam urged the government to provide tangible benefits to start-ups, particularly those pioneering next-gen technologies like AI in education. His recommendations included:
– Lowering costs and reducing the turnaround time for incorporating private limited companies and LLCs.
– Offering financial subsidies, grants, and incubation assistance for start-ups working in AI and education.
“It’s high time for the government to ‘walk the talk’ on providing true ease of doing business for start-ups,” he added.
A Transformative Opportunity
The Pre-Budget expectations from thought leaders like Andotra and Ramalingam highlight the immense potential for India to emerge as a global leader in education and technology. By prioritising AI in education and supporting start-ups, the government has an opportunity to shape the future of India’s workforce and global standing.
As the nation awaits the Union Budget 2025, these voices underscore a shared hope for decisive action to propel India towards a technologically advanced and equitable future.