Cabinet approves Rs 4,200 crore MERITE scheme to improve technical education, create jobs

The Union Cabinet has given the green flag to implement the ‘Multidisciplinary Education and Research Improvement in Technical Education’ (MERITE) scheme in 275 technical institutions, 175 engineering colleges, and 100 polytechnics, with a total outlay of Rs 4,200 crore from the academic years 2025-26 to 2029-30.

Additionally, there will be an external assistance of Rs 2,100 crore from the World Bank as loan to implement the MERITE scheme.

The scheme aims to improve the quality, equity and governance of technical education of states, and the Union Territories, aligning with the National Education Policy 2020 (NEP).

Government-aided technical institutions such as National Institutes of Technology (NITs), State Engineering Institutions, Polytechnics and Affiliating Technical Universities (ATUs), as well as state and UT departments managing technical education will be included under the scheme.

Around 7.5 lakh students will be benefitted from the MERITE scheme, the official statement by the government read.

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Benefits under MERITE Scheme

The project will support the development of guidelines for multidisciplinary programs in technical education. It also aims to enhance students’ learning and employability skills , while increasing the transition rates of student groups.

The scheme will also help in developing the research and innovation ecosystem in technical institutes across the country. “The new scheme will improve quality assurance and governance mechanisms, which will result in long term benefits,” the official statement read.

“Eminent educational institutions like the IITs and IIMs and regulatory bodies in the higher education sector such as the AICTE , NBA, others will also play a significant role in the scheme implementation,” it added.

The scheme will adopt a ‘comprehensive, multi-faceted approach’ to improve students employability by enhancing their skills. Key components of the MERITE scheme include offering internship opportunities, updating curricula to align with industry needs, organising faculty development programmes, and establishing research hubs.