Union Budget 2025: Govt to set up Centre of Excellence in AI

In the Budget 2025-26, Union Finance Minister Nirmala Sitharaman proposed to set up a centre of excellence (CoE) in the artificial intelligence (AI).

The CoE for AI is the continuation of the Narendra Modi government’s practice of setting up sector-specific CoEs that began last year.

“I had announced three Centres of Excellence in Artificial Intelligence for agriculture, health, and sustainable cities in 2023. Now a Centre of Excellence in Artificial Intelligence for education will be set up with a total outlay of Rs 500 crore,” said Sitharaman in the budget speech.

Last year, following Sitharaman’s announcement in the Budget, the Modi government set up three CoEs head by Indian Institutes of Technology (IIT).

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A consortium of IIT Delhi and All India Institute of Medical Sciences (AIIMS), Delhi, are heading the CoE on healthcare; IIT Ropar is heading the CoE on agriculture; and IIT Kanpur is heading the CoE for sustainable cities.

In addition to the CoE for AI, Sitharaman proposed the setting up of five CoE for skilling the youth with skills required for ‘Make for India, Make for the World’ manufacturing with global expertise and partnerships.

“Building on the initiative announced in the July 2024 Budget, five National Centres of Excellence for skilling will be set up with global expertise and partnerships to equip our youth with the skills required for “Make for India, Make for the World” manufacturing. The partnerships will cover curriculum design, training of trainers, a skills certification framework, and periodic reviews,” said Sitharaman.

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