Union Budget 2025: 10,000 new medical seats, boost for IITs, AI push

Union Budget 2025 announces 10,000 new medical seats, expansion of IITs, Rs 500 crore for AI in education, and a strong focus on upskilling and inclusive growth

Union Finance Minister Nirmala Sitharaman, while presenting the Union Budget 2025 on Saturday, announced a major push for the education sector. The government will add 10,000 new seats to medical colleges across India next year, with an ambitious target of creating 75,000 new seats over the next five years.

 

Big gains for IITs 

Sitharaman also shared positive news for the prestigious Indian Institutes of Technology (IITs). She highlighted that the number of IIT students has doubled in the past 10 years. To support this growth, the government will create additional infrastructure for five IITs established after 2014, making room for 6,500 more students.

 

Focus on upskilling and global partnerships 

In line with the government’s vision to prepare India’s youth for the global stage, Sitharaman also announced the establishment of five National Centres of Excellence. These centers will focus on upskilling, leveraging global expertise and partnerships to equip students with the skills needed for the ‘Make in India, Make for the World’ initiative.  ALSO READ: Budget: Startup sector gets new Fund of Funds, FM to allocate Rs 10K cr

 

Rs 500 crore for AI in education 

In a significant move to integrate technology with education, Sitharaman revealed plans to set up a Centre of Excellence in Artificial Intelligence for Education, with an initial outlay of Rs 500 crore.

 

Budget presentation amid protests 

Sitharaman, presenting her eighth consecutive budget — a record feat — began her speech shortly after 11 am. However, the session witnessed disruptions as MPs from Akhilesh Yadav’s Samajwadi Party protested, demanding a discussion on the Maha Kumbh stampede. The MPs staged a symbolic walkout but returned shortly after. Meanwhile, Sitharaman continued presenting the budget, outlining key focus areas, including agricultural growth and productivity, rural development, inclusive growth, support for MSMEs (micro, small, and medium enterprises), employment-led development, investment in human capital, energy security, and export promotion. 

 

“Our economy is the fastest-growing among major global economies. The development track record of the past 10 years and structural reforms have drawn global attention. Confidence in India's capability has grown, and the next five years are a unique opportunity to achieve 'sabka vikas' through balanced regional growth,” Sitharaman said.