Budget 2026-27 Boosts Education with Rs 1.4 Lakh Crore Outlay, Girls' Hostels & University Townships
Budget 2026-27: Rs 1.4 Lakh Crore for Education, Girls' Hostels in Every District

The Union Budget for the fiscal year 2026-27 has unveiled a substantial education outlay of nearly Rs 1.4 lakh crore, marking a strategic pivot from temporary schemes to enduring structural investments. This move places women's access and campus capacity at the core of India's educational advancement, signaling a transformative approach to learning infrastructure.

Key Allocations and Increases

The education ministry's allocation has risen by 8.3% to Rs 1,39,290 crore for 2026-27. Within this, school education and literacy receive Rs 83,561 crore, reflecting a 6.4% increase, while higher education gets Rs 55,724 crore, up by 11.3%. These funds are primarily aimed at expanding infrastructure and boosting research capabilities across institutions.

Focus on Higher Education Infrastructure

A standout initiative in the higher education sector is the creation of five university townships near major industrial and logistics corridors. These townships are designed to cluster universities, colleges, and research institutions closer to emerging economic hubs, fostering innovation and industry-academia collaboration.

Empowering Women in STEM

To improve enrolment and retention of women in science and engineering fields, the government has committed to providing capital support for establishing at least one girls' hostel in every district that hosts higher-education STEM institutions. This initiative addresses long-standing accommodation gaps that have hindered female participation in technical education.

Digital and Creative Enhancements

The Budget has expanded digital learning infrastructure in schools and colleges. Support has been announced for the Indian Institute of Creative Technologies in Mumbai to set up AVGC content creator labs. Additionally, the Bharatiya Bhasha Pustak initiative will roll out digitised textbooks in Indian languages for primary and secondary students, aimed at improving access and comprehension in regional languages.

Institutional Funding and New Establishments

On institutional funding, allocations for IITs have risen to Rs 12,123 crore, and for IIMs to Rs 292 crore. However, other premier institutes, including IISc and IIITs, are facing tighter budgets. The Budget has also proposed the setting up of a new National Institute of Design in the eastern region, further diversifying educational opportunities.

This comprehensive push underscores the government's commitment to building a robust educational framework that prioritizes accessibility, capacity, and quality, setting the stage for long-term growth in India's knowledge economy.