The Union Budget 2025 has paved the way for a transformative shift in India’s education sector with the announcement of three Centres of Excellence in Artificial Intelligence (AI) for Education. With an outlay of ₹500 crore, these centres aim to integrate AI into the learning ecosystem, focusing on personalised education, skill development, and digital accessibility, particularly in rural areas.
Driving Educational Transformation Through AI
Dr. Koteswararao Anne, Dean of Mukesh Patel School of Technology and Engineering (MPSTME), NMIMS Mumbai, emphasised the transformative impact of this initiative, stating, “The establishment of a Centre of Excellence in AI for Education marks a transformative step in India’s educational landscape. This initiative strategically aligns with the National Education Policy 2020’s vision of achieving 50% Gross Enrollment Ratio by 2035. By leveraging AI, India can revolutionize rural education through intelligent tutoring systems and vernacular language processing, making quality education accessible in remote areas.”

The investment is expected to address regional skill gaps by customising AI-driven training modules. Dr. Anne further highlighted, “The ₹500 crore investment will catalyze personalised learning pathways for unemployed youth, offering targeted skill development programmes aligned with industry demands. AI-driven analytics can identify regional skill gaps and customise training modules, potentially impacting crores of youth across India’s diverse socio-economic spectrum.”
Bridging the Digital Divide in Education
The AI centres will focus on enhancing digital literacy, multidisciplinary learning, and personalised tutoring. Mr. Neeraj Kansal, Founder and CEO of Crack Academy, praised the government’s forward-thinking approach, stating, “The Union budget 2025 announcements laid a strong foundation for the education sector. The establishment of three Centres of Excellence in AI for Education with an outlay of ₹500 crore is a visionary move that will accelerate the integration of AI into the learning ecosystem.”

He further noted that the initiative would particularly benefit students in rural and semi-urban areas by improving access to e-learning platforms. “This will particularly benefit rural schools and students in tier 2 and 3 cities, enabling them to access e-learning resources, virtual classrooms, and AI-based education tools. Coupled with the Bharatiya Bhasha Pushtak scheme, which promotes Indian language books in digital formats, the budget reinforces the government’s commitment to inclusive and multilingual education,” he added.
Towards a Future-Ready Education System
The integration of AI with traditional teaching methods is expected to enhance learning outcomes while preserving India’s diverse educational heritage. By fostering an inclusive and technologically advanced academic framework, India is positioning itself as a global leader in AI-driven education, ensuring that the benefits of digital learning reach every corner of the country.