- Scheme Overview
- Revised scheme aims to provide easy loans for advanced skill courses, with loan amounts up to ₹7.5 lakh, accessible through banks, NBFCs, MFIs, and SFBs. Loans are backed by a 75% credit guarantee.
- Need for Skill Development
- Addresses challenges like youth unemployment (10% in 2022-23) and job transformation driven by technology (23% jobs to change globally by 2028). Focuses on leveraging India’s demographic dividend and aligning skills with industry demands.
- Challenges
- Negative perception of vocational training, lack of apprenticeship ecosystems, employment-skill mismatch (only 4.4% of youth receive formal vocational training), and limited mentorship or financial access for startups.
- Way Forward
- Integrate skill development with education and employment policies, align industry needs with training curricula, expand rural access, and implement global best practices like Germany’s dual education system. Suggestions include creating a reimbursable industry contribution fund and establishing dedicated vocational colleges.
