Cabinet Approves ₹4,200 Crore MERITE Scheme to Boost Technical Education Quality

The scheme is expected to benefit around 7.5 lakh students directly by providing upgraded learning environments, enhanced teaching quality, and greater access to multidisciplinary education.

The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved the implementation of the Multidisciplinary Education and Research Improvement in Technical Education (MERITE) scheme. The ambitious initiative will be rolled out across 275 technical institutions — comprising 175 engineering colleges and 100 polytechnics — with the aim of enhancing quality, equity, and governance in India’s technical education system.

Aligned with the National Education Policy 2020 (NEP-2020), MERITE will target government and government-aided technical institutions in all States and Union Territories, including National Institutes of Technology (NITs), State Engineering Institutions, Polytechnics, and Affiliating Technical Universities (ATUs). State and UT departments managing the technical education sector will also be supported.

Financial Outlay and Funding Support

MERITE is a Central Sector Scheme with a total budget of ₹4,200 crore for the period 2025–26 to 2029–30. Notably, ₹2,100 crore — half the project cost — will be funded through external assistance from the World Bank as a loan, demonstrating international confidence in India’s technical education reforms.

Direct and Indirect Beneficiaries

The scheme is expected to benefit around 7.5 lakh students directly by providing upgraded learning environments, enhanced teaching quality, and greater access to multidisciplinary education. Indirectly, improvements in governance, curriculum, and infrastructure will have a lasting impact on faculty, administrators, and future cohorts of students.

Key Objectives and Outcomes

The MERITE scheme is designed to address multiple dimensions of technical education reform:

• Digital Transformation – Adoption of digitalization strategies in participating States/UTs.

• Multidisciplinary Learning – Development of guidelines for offering multidisciplinary programs in technical courses.

• Skill Enhancement – Strengthening learning and employability skills of students through internships, skill labs, and language workshops.

• Higher Transition Rates – Improving student progression across academic and socio-economic groups.

• Research and Innovation – Creating an enabling environment for advanced research, innovation hubs, and incubation centres.

• Quality Assurance – Increasing accreditation rates and improving institutional governance mechanisms.

• Industry-Linked Curriculum – Designing labour market–aligned curricula and blended learning courses.

• Faculty Development – Preparing future academic administrators, with a special emphasis on increasing the participation of women faculty in leadership roles.

Implementation Strategy

MERITE will be executed in close collaboration with premier academic and regulatory bodies such as the Indian Institutes of Technology (IITs), Indian Institutes of Management (IIMs), All India Council for Technical Education (AICTE), and the National Board of Accreditation (NBA). A Central Nodal Agency will oversee the fund flow from the central government to participating institutions, ensuring timely and efficient implementation.

Employment Generation and Industry Integration

One of the core focuses of MERITE is boosting employability among technical graduates. To achieve this, the scheme will:

• Facilitate internships and on-the-job training opportunities.

• Regularly update course content in alignment with industry needs.

• Establish research hubs, innovation cells, and maker labs.

• Provide support for entrepreneurship and incubation initiatives.

• Conduct skill development and language enhancement workshops.

These interventions aim to increase placement rates, close the gap between academic learning and industry requirements, and reduce unemployment among engineering and polytechnic graduates.

A Transformative Step in Technical Education

By integrating multidisciplinary learning, digital adoption, industry alignment, and governance reforms, MERITE is poised to become a transformative force in India’s technical education sector. The scheme’s focus on equity, inclusion, and employability directly supports the NEP-2020 vision and will contribute significantly to India’s long-term goals of creating a skilled workforce for a rapidly evolving global economy.