The Centre is preparing a fresh set of measures to strengthen the Prime Minister Internship Scheme by widening industry participation and creating more internship opportunities across emerging sectors.
According to people familiar with the development, the Ministry of Corporate Affairs is considering pilot projects involving Special Economic Zones (SEZs), Global Capability Centres (GCCs), and selected small and medium enterprises (SMEs) to improve participation in the scheme.
The ministry is also planning to expand the pool of eligible companies by allowing state governments to nominate up to 20 registered companies from their respective states. The move comes after the first 2 phases of the scheme received a lower-than-expected response, prompting the government to introduce new measures during the ongoing 3rd phase.
To further increase participation, professional institutions, SMEs identified through industry associations, and statutory authorities may also be included as internship providers. The government has already expanded the number of eligible sectors from 25 to 31, adding industries such as electronics, engineering and design services, facilities management and business services, logistics, supply chain and shipping, and workforce solutions and human resources.
Another proposal under consideration is allowing companies without mandatory Corporate Social Responsibility (CSR) obligations to participate, subject to specific conditions. Earlier, CSR spending was one of the key eligibility requirements.
One person aware of the discussions said, “The government is considering many steps with inputs from key stakeholders. A final decision on them will be made soon.” The person added, “The idea is to broaden participation, drawing lessons from the first 2 phases of rollout.”
The review follows lower participation and higher dropout rates, which led to the scheme’s allocation being reduced to ₹526 crore for FY26, compared with the earlier budget estimate of ₹10,831 crore.
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