In the Union Budget for 2025-26 presented on February 1, 2025, Finance Minister Nirmala Sitharaman announced the establishment of a Centre of Excellence in Artificial Intelligence (AI) for the education sector, with an allocated budget of ₹500 crore. This initiative aims to foster innovation within education by integrating AI technologies.
This development builds upon the government’s 2023 announcement to create three AI Centres of Excellence focusing on agriculture, healthcare, and sustainability, which were designed to advance research and practical applications of AI in these critical areas.
Industry experts have lauded the move, highlighting its potential to enhance learning quality and improve employability. Jaideep Kewalramani, COO and head of the employability business at TeamLease Edtech, stated, “The AI center of excellence for education is a strong signal for integrating AI for both the educators and learners. This will unlock learning and raise the quality of education thereby improving employability.”
The government’s commitment to AI in education aligns with broader trends in the edtech sector, where AI is increasingly utilized to drive personalized learning, adaptive assessments, and automated content creation.
