AI Observatory
Initiative or IncentiveOngoingNot legally binding
As of October 15, 2026

AI Centres of Excellence announced in the Union Budget and by the Ministry of Education (2023-2025)

Government-funded AI research hubs in agriculture, health, sustainable cities and education, announced in successive Union Budgets and in October 2024

India (Union) Union Government (Ministry of Education and MeitY), announced through the Union Budget and ministerial statements October 15, 2024 5 min read
Contents
  1. Key elements
  2. Background
  3. Announcements and objectives
  4. Budget and institutions
  5. Implementation and gaps
  6. Significance and open questions
  7. Current status
  8. Timeline
  9. Sources

India's Union Budgets promised publicly funded AI Centres of Excellence at leading institutions. Three centres, for agriculture, health and sustainable cities, were announced in 2023 and named by the Education Minister on 15 October 2024 with a reported budget of Rs 990 crore, at IIT Ropar, AIIMS with IIT Delhi, and IIT Kanpur. The Union Budget 2025-26 added a Rs 500 crore Centre of Excellence for AI in education. Related initiatives include IndiaAI's Shrijan generative-AI centre at IIT Jodhpur and a Karnataka-funded centre in Bengaluru. The sources reviewed give few details on governance, funding releases or outputs.

Ongoing. Centres announced 2023-25; implementation details and outputs sparsely reported

Legal effect: this initiative or incentive is not legally binding by itself. It may describe or request action; obligations arise only where a statute, rule or court order says so.

Key elements

  1. Three sectoral AI centres (agriculture, healthcare, sustainable cities) were announced in 2023 and given host institutions and Rs 990 crore in October 2024.
  2. The Union Budget 2025-26 added a fourth centre, for AI in education, with a Rs 500 crore outlay.
  3. Centres follow the 2018 NITI Aayog idea of Centres of Research Excellence, but are announced separately from the Rs 10,371.92 crore IndiaAI Mission.
  4. Other AI centres are linked to IndiaAI and states: Shrijan (IIT Jodhpur, with Meta) and a Rs 28 crore Karnataka centre in Bengaluru.
  5. The sources reviewed do not report fund releases, governance structures, partners or research outputs for the central Budget-announced centres.
  6. MediaNama speculated that the cut in the Mission's 2024-25 allocation may partly reflect reallocation to the education centre, but said this was unconfirmed.

Background

The idea of publicly funded AI research centres appears in India's first national AI strategy. NITI Aayog's June 2018 paper proposed Centres of Research Excellence (CORE) at institutions such as IISc, ISI and the top IITs and IIITs, with suggested funding of Rs 50-100 crore each, feeding industry-led International Centres for Transformational AI.8 Earlier government-funded AI hubs under the Department of Science and Technology's National Mission on Interdisciplinary Cyber-Physical Systems included the Artificial Intelligence and Robotics Technology Park (ARTPARK) at IISc, set up in 2020 with Rs 230 crore of seed money from the DST and the Karnataka government, and the AI4ICPS Innovation Hub at IIT Kharagpur, which received a Rs 170 crore DST grant.1

The Centres of Excellence discussed here are a separate line of announcements. The Cabinet's extension of the Digital India programme in 2023 included "three AI Centers of Excellence focused on sustainable cities, agriculture, and health", and MediaNama noted in 2025 that centres for agriculture, health and sustainable cities had been announced in 2023.12

Announcements and objectives

2023. Three AI Centres of Excellence, focused on agriculture, health and sustainable cities, were announced in 2023, as part of the Union Budget for 2023-24, and the same three areas appear in the Cabinet's Digital India extension.12

15 October 2024. Education Minister Dharmendra Pradhan announced the creation of three AI Centres of Excellence in New Delhi with a budget of Rs 990 crore. The agriculture centre would be at IIT Ropar, the sustainable cities centre at IIT Kanpur, and the healthcare centre at AIIMS and IIT Delhi.15

1 February 2025. In the Union Budget 2025-26 the Finance Minister announced a Centre of Excellence for AI in education with an outlay of Rs 500 crore. MediaNama noted that it came on top of the three centres announced in 2023.2

Related centres outside the Budget announcements. On 25 October 2024 IndiaAI and Meta announced Shrijan, a Center for Generative AI at IIT Jodhpur, to support foundation models and generative AI research, and Meta pledged up to Rs 750 lakh over three years for the YuvAI skilling initiative.16 In November 2024 the Karnataka government approved Rs 28 crore to build a Centre of Excellence in AI in Bengaluru.17

Budget and institutions

The Budget-announced centres are funded directly by the Union government and are not drawn from the IndiaAI Mission's seven pillars, which total Rs 10,371.92 crore. The IndiaAI Mission's FutureSkills pillar, with Rs 882.94 crore, supports AI courses at undergraduate to PhD level and data and AI labs, and by February 2026 the government reported that 27 India Data and AI Labs had been set up and 543 more identified.9

The reported costs are as follows:

CentreHostReported outlayAnnounced
Agriculture AI CoEIIT RoparPart of Rs 990 crore for threeBudget 2023-24; named 15 Oct 2024
Sustainable cities AI CoEIIT KanpurPart of Rs 990 crore for threeBudget 2023-24; named 15 Oct 2024
Healthcare AI CoEAIIMS and IIT DelhiPart of Rs 990 crore for threeBudget 2023-24; named 15 Oct 2024
AI in education CoENot stated in the sources reviewedRs 500 croreBudget 2025-26
Centre of Excellence in AI, BengaluruKarnataka governmentRs 28 croreNovember 2024

The sources reviewed do not say how the Rs 990 crore is divided among the three centres, who the industry partners are, or how the centres report to government.12

Implementation and gaps

The announcements of 2023 and 2024 are consistent, but the sources reviewed contain little on implementation. They show no fund releases, no published governance charters, no list of research outputs and no deployment of the centres' work in agriculture, health or urban services. The 15 October 2024 announcement was reported by the news agency ANI and is relayed by Wikipedia; the ministry's own release and any later progress reports could not be retrieved for this entry.15

The education centre announced in the 2025 Budget is also thinly documented. MediaNama's February 2025 analysis of the IndiaAI Mission's budget speculated that the fall in the Mission's 2024-25 allocation from Rs 551.75 crore to Rs 173 crore might partly reflect reallocation to priorities such as the Rs 500 crore education centre, while stressing that this explanation was unconfirmed by official sources.3 MediaNama's summary of the Union Budget 2026-27 did not report any new AI Centre of Excellence, and instead recorded AI as a "force multiplier" within other missions.4

Significance and open questions

Centres of Excellence connect India's AI policy to higher education and sector-specific research, and they have a different logic from the IndiaAI Mission's compute and model programmes. The 2018 strategy argued that India's AI research was thin in quantity and quality and confined to a few institutes, and recommended a hub-and-spoke system of centres.8 MeitY's 2025 governance guidelines similarly stress capacity building, including training for officials, regulators and law enforcement and expanding AI education in tier-2 and tier-3 cities.10

The principal open issue is transparency. Without published budgets per centre, governance structures or outputs, it is not possible to assess whether the centres are meeting their stated purposes. That gap is notable beside the government's wider emphasis on compute, datasets and sovereign models, and the question of how the centres' sectoral AI work, in health and agriculture especially, will meet safety, privacy and liability expectations is not addressed in the announcements reviewed. The governance guidelines flag healthcare and agriculture as areas where AI adoption lags because of limited infrastructure and access to resources.10

Current status

As of 15 October 2026 the four central AI Centres of Excellence remain announced initiatives for which the sources reviewed give no completion dates or outputs. The Union Budget 2026-27, presented on 1 February 2026, was not reported to include a new AI centre. The sources reviewed did not confirm whether the education centre has been set up or where it is hosted.24

Timeline

  1. Jun 2018

    CORE proposed

    NITI Aayog's national AI strategy proposes Centres of Research Excellence at premier institutions.

  2. 2020

    ARTPARK and AI4ICPS

    DST-funded AI hubs are set up at IISc and IIT Kharagpur under the National Mission on Interdisciplinary Cyber-Physical Systems.

  3. Feb 1, 2023

    Budget 2023-24

    Three AI Centres of Excellence for agriculture, health and sustainable cities are announced.

  4. Oct 15, 2024

    Centres named

    Education Minister Dharmendra Pradhan names IIT Ropar, IIT Kanpur and AIIMS with IIT Delhi as hosts, with a Rs 990 crore budget.

  5. Oct 25, 2024

    Shrijan at IIT Jodhpur

    IndiaAI and Meta announce a Center for Generative AI at IIT Jodhpur.

  6. Nov 2024

    Karnataka centre

    Karnataka approves Rs 28 crore for a Centre of Excellence in AI in Bengaluru.

  7. Feb 1, 2025

    Budget 2025-26

    A Rs 500 crore Centre of Excellence for AI in education is announced.

  8. Feb 1, 2026

    Budget 2026-27

    The Budget presents AI as a force multiplier but, as reported, announces no new AI centre.

Sources

  1. [1]
    Artificial intelligence in India
    SecondaryWikipediaen.wikipedia.org
  2. [2]
    Union Budget 2025: Important Tech Policy Updates
    SecondaryMediaNamaFebruary 1, 2025medianama.com
  3. [3]
    IndiaAI Mission Allocation Reduced by 69% in Revised 2024-25 Estimates
    SecondaryMediaNamaFebruary 3, 2025medianama.com
  4. [4]
    Union Budget 2026-27: Important Tech Policy Updates
    SecondaryMediaNamaFebruary 2, 2026medianama.com
  5. [5]
  6. [6]
  7. [7]
    Centre of Excellence in AI to come up in Bengaluru
    SecondaryThe HinduNovember 2024thehindu.com
  8. [8]
    National Strategy for Artificial Intelligence: Discussion Paper (June 2018)
    PrimaryNITI Aayog, hosted by INDIAaiJune 2018indiaai.gov.in
  9. [9]
    Rajya Sabha Unstarred Question No. 1668: Progress of IndiaAI Mission (answered 13 February 2026)
    PrimaryMinistry of Electronics and Information Technology, via MediaNamaFebruary 13, 2026medianama.com
  10. [10]
    India AI Governance Guidelines: Enabling Safe and Trusted AI Innovation
    PrimaryMinistry of Electronics and Information Technology, via PIBNovember 2025static.pib.gov.in
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Cite this entry

Pacta AI Observatory, “AI Centres of Excellence announced in the Union Budget and by the Ministry of Education (2023-2025),” last updated October 15, 2026, https://aiobservatory.pacta.in/wiki/ai-centres-of-excellence.

Facts verified October 15, 2026 · Last edited Oct 15, 2026 · 12:36 Not legal advice. Check the primary sources before relying on this summary.