PM Internship Scheme aims to provide exposure, not jobs: FM Sitharaman

Finance Minister Nirmala Sitharaman clarified in the Rajya Sabha on Tuesday that the Prime Minister Internship Scheme, announced last year, was designed to enhance youth employability through skill-building rather than provide direct employment.

 

“The intent of the program is not to provide jobs, but to offer exposure and create awareness about market opportunities, so that candidates can be trained accordingly,” Sitharaman said during the Question Hour. She emphasised that an internship is not the same as employment and outlined the scheme’s objectives.

Internship in top 500 companies

As part of the Viksit Bharat initiative, announced in the July 2024 Budget, the government launched a comprehensive internship scheme aimed at providing opportunities to 1 crore youth over five years. Participants will get 12 months of industry exposure in India's top 500 companies, gaining insight into real-world business environments and professional roles.

 

 

Interns receive a monthly allowance of Rs 5,000, along with a one-time assistance of Rs 6,000. Companies are expected to cover 10 per cent of the internship cost from their CSR funds, in addition to bearing the training expenses.

Regional disparities and industry response

Responding to concerns about regional imbalances in internship placements, Sitharaman said it is up to the candidates to choose their preferred location.

 

“Candidates were asked to apply, and they had the opportunity to select where they wanted to intern. If there were no available options in their district, they had the choice to move elsewhere,” she explained.

 

Sitharaman also highlighted that some companies were offering additional benefits, such as accommodation for interns coming from different districts, even though this was not part of the official scheme.

Growing industry participation

The pilot phase of the internship scheme began last year, followed by a second pilot in January 2025. “Nearly 80 more companies have joined the initiative with additional offers. It’s an evolving program, and I’m glad that in just four months since the July budget announcement, we have received such a positive response,” Sitharaman noted.

 

The scheme is part of the government’s broader push to bridge the skill gap and improve youth employment prospects by aligning education with industry needs.

 

(With inputs from ANI)