In a major boost to India’s workforce development goals, the Asian Development Bank (ADB) has approved a $846 million loan to support large-scale skill-building and employability initiatives across the country. The funding aims to create a future-ready workforce equipped for the rapidly evolving manufacturing and emerging technology sectors.
The investment will support the Pradhan Mantri Skilling and Employability Transformation through Upgraded Industrial Training Institutes (ITIs) Program, focused on improving the quality of vocational education nationwide. Under this initiative:
- 650 Industrial Training Institutes (ITIs) across 12 states will be modernized under a hub-and-spoke cluster model
- Five National Skill Training Institutes (NSTIs) will be upgraded into centers of excellence for advanced trainer development
Preparing Youth for High-Demand Careers
The modernization drive aims to enhance private sector participation, build industry-aligned academic standards, and introduce training for green skills — an area gaining global importance. According to the ADB, the upgraded institutions are expected to improve the employability of at least 1.3 million young people across India.
ADB on India’s Workforce Needs
“India’s manufacturing sector requires a highly skilled workforce to remain competitive globally and foster inclusive growth,” said ADB Country Director for India, Mio Oka. She added that the project builds on ADB’s ongoing support for skill development and will ensure greater access to opportunities for women and disadvantaged communities, while strengthening India’s position as a hub for advanced skills.
With this major investment, India aims to accelerate job creation, drive industrial growth, and reinforce its global competitiveness in future-centric sectors such as advanced manufacturing, automation, clean technology, and emerging digital technologies.