Cabinet Approves ₹11,829 Cr Expansion Plan for Five New IITs by FY29
K N Mishra
08/May/2025

What's covered under the Article:
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Cabinet approves ₹11,829 crore to expand five IITs, adding 6,576 new seats and 130 faculty positions over four years till FY29.
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IITs in Bhilai, Dharwad, Jammu, Palakkad, and Tirupati to benefit, with new research parks and significant infrastructure upgrades planned.
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Expansion aims to fuel innovation, startup ecosystems, and create jobs by boosting academic, research, and industrial collaboration capacities.
In a major boost to India's higher education landscape, the Union Cabinet has approved an ambitious ₹11,829 crore (US$ 1,396 million) expansion plan for five third-generation Indian Institutes of Technology (IITs) located in Bhilai, Dharwad, Jammu, Palakkad, and Tirupati. This transformative decision is set to enhance student intake, faculty strength, and research capabilities significantly, with full implementation expected by FY29.
Under this expansion initiative, 6,576 additional student seats will be added in a phased manner over four years, beginning in FY26. The current student capacity of 7,111 will nearly double to 13,687 by FY29. Alongside this, the plan includes the creation of 130 new faculty posts, as well as employment opportunities in administrative, research, and technical roles to support the rising academic demands.
Breakdown of Student Intake Over the Years:
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Year 1 (FY26): 1,364 additional seats
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Year 2 (FY27): 1,738 additional seats
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Year 3 (FY28): 1,767 additional seats
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Year 4 (FY29): 1,707 additional seats
This expansion is part of the broader vision of the Indian government to strengthen higher education in science and technology. It directly supports the announcement made earlier in the Union Budget FY26 by Finance Minister Ms. Nirmala Sitharaman, wherein emphasis was placed on enhancing the capabilities of newer IITs that were set up after 2014.
IITs to Be Benefitted:
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IIT Bhilai (Chhattisgarh)
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IIT Dharwad (Karnataka)
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IIT Jammu (Jammu & Kashmir)
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IIT Palakkad (Kerala)
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IIT Tirupati (Andhra Pradesh)
These third-generation IITs, though relatively new, are being seen as crucial drivers of regional and national development, particularly in areas where there was previously limited access to high-end engineering education.
Research Parks and Industry Collaboration
An important component of the expansion plan includes the establishment of advanced research parks at these institutes. These parks are envisioned as hubs of innovation, bridging academic research with industrial applications, and nurturing startups and entrepreneurship.
The research parks will enable collaborative projects, attract industry investments, and provide a platform for students and researchers to engage in cutting-edge technological advancements. This model mirrors the success of similar parks in older IITs like IIT Madras and IIT Bombay, which have significantly boosted innovation output and startup success stories.
Faculty Hiring and Job Creation
The creation of 130 new faculty posts is only the beginning of a much broader employment generation plan. As these institutes grow, the demand for academic, administrative, and technical staff is expected to rise in tandem. These roles are not just vital for running the institutions but are also significant contributors to local and regional economies.
Furthermore, the institutes will need to expand their hostel facilities, laboratories, lecture halls, and campus infrastructure, giving rise to construction and service sector employment opportunities in the surrounding areas.
Impact on Higher Education and Innovation
The expansion will cater to the growing demand for high-quality education in engineering, sciences, and technology, and is expected to have a long-term impact on the national innovation ecosystem.
Key expected outcomes include:
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A surge in the number of graduates and postgraduates with world-class education.
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Enhanced research output and patent generation.
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Greater entrepreneurial activity, as students get access to mentorship and funding via research park initiatives.
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Stronger international collaborations, as improved infrastructure and academic output attract global faculty and researchers.
Broader National Context
This move aligns with India’s National Education Policy (NEP) 2020, which encourages multi-disciplinary education, greater access, and research-oriented academic models. The policy also places importance on creating global standards in Indian educational institutions, and this expansion is a significant step in that direction.
Moreover, as India positions itself as a global innovation and tech hub, the role of institutes like IITs becomes central. Their graduates have historically been at the forefront of advancements in sectors such as AI, cybersecurity, aerospace, renewable energy, biotechnology, and software engineering.
Conclusion
The Cabinet's approval of ₹11,829 crore for the expansion of five newer IITs marks a strategic investment in the future of India's education and innovation sectors. By nearly doubling the student capacity and adding vital research infrastructure, this move not only addresses the increasing demand for STEM education but also positions India to leverage its youthful demographic towards building a knowledge-based economy.
As this expansion unfolds, the increased collaboration with industries, boost to research and entrepreneurship, and job creation across multiple levels will underscore the transformative impact of this initiative.
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