Niti Aayog proposes skill (re)set with focus on outcome-linked financing, PPPs

New Delhi: The Niti Aayog has proposed core reforms and systemic enablers to transform India's skilling architecture with focus on outcome-linked financing, skills integration in schools and viable public-private partnership models for skilling and expanding apprenticeship opportunities through operationalisation of National Credit Framework, digital skills passport and creation of inclusive infrastructure.

"The roadmap seeks to move skilling from a collection of programmes to a coherent system that supports cumulative progression to help India strengthen its skilling ecosystem as a durable foundation for economic participation and social mobility in the years ahead," the Aayog said in a report titled 'Reimagining Skilling for Viksit Bharat@2047'.

Emphasising the need to integrate skilling into school education, the report suggested universal introduction of the General Employability and Entrepreneurship Skills (GEES) from Grade 6-12, alongside Kaushal Tracks (structured vocational pathways) from Grade 9 onwards to enable deeper vocational specialisation aligned with local and national skill demand.


The report called for structural reorientation in India's tertiary education system to align learning with labour market demand. "This can be done through stronger industry participation via public-private partnership (PPP) models and apprenticeship embedded degree/diploma programmes (AEDP) to modernise curricula, embed job-linked learning, and ensure relevance," it said. "The focus must move towards demand-driven skilling aligned to high growth sectors (e.g., green industries, electric vehicles), general employability and entrepreneurship skills, and reskilling for declining roles."

According to the Aayog, access to finance remains a binding constraint on skilling participation, particularly where costs are high and outcomes are uncertain. "To address this gap, financing must shift towards outcome-based approaches that link support to verified placements, wage gains, or retention," it said.

The report called for setting up a state or national shared skills infrastructure network (PM-Gati Shakti and Skill India Digital Hub) to identify, map, digitise and enable shared use of existing assets.