About Skill Development Scheme

The objective of this Scheme is to encourage skill development for youth by providing monetary rewards for successful completion of approved training programs. Specifically, the Scheme aims to:

1. encourage standardization in the certification process and initiate a process of creating a registry of skills.
2. increase productivity of the existing workforce and align the training and certification to the needs of the country.
3. provide Monetary Awards for Skill Certification to boost employability and productivity of youth by incentivizing them for skill trainings
4. benefit 10 lakh youth at an approximate total cost of â‚ą 1,000 Crores.


1. The Finance Minister in his Budget Speech of 2013 proposed a scheme to encourage skill development for youth by providing monetary rewards for successful completion of approved training programs.
2. This Scheme shall be implemented through Public-Private and Public-Public partnerships.
3. NSDC will be the implementing agency for this Scheme and NSDF shall monitor the implementation of the Scheme, using mutually agreed criteria with NSDC.
4. The Scheme will provide monetary incentives for successful completion of, market-driven skill training to approximately ten lakh youth in in a span of one year from the date of implementation of the scheme.
5. All trainings will be specifically oriented for developing skills in specific growth sectors.
6. Assessment and training bodies for all purposes of the Scheme will be separate and no overlap of roles will be allowed to maintain transparency and objectivity.
7. The monetary reward will be wholly funded by the Ministry of Finance, Government of India, and will be affected through direct bank transfer to the beneficiaries’ accounts.
8. Appropriate consideration will be provided to the economically backward sections.

Eligible Sectors and Job Roles

1. While the Scheme is intended to cover all job roles in all sectors, it will initially cover only a limited number of high-market-demand Job Roles in specified economic sectors from Levels I to IV in the NVEQF/NSQF.
2. NOSs and QPs for these roles will be prepared by the respective SSCs, and will constitute 80% of the entry-level workforce in priority sectors.

Training Content and Eligible Providers

1. To ensure that benefit is extended only to the trainees taking courses which are aligned to NOSs and QPs for eligible Sectors and Job Roles, a select list of training institutions to offer these courses will be approved for the purposes of this Scheme.
2. All institutions, government or private (who, during the last two years, have been selected by any State Government or any Ministry of the Government of India to implement any Government funded or sponsored Scheme), shall be deemed to be part of the approved list of training providers under this Scheme. All such deemed approved training providers will need to get each training course they propose to offer, aligned to NOS and QPs of various eligible job roles corresponding to Levels I to IV of the NVEQF/NSQF.
3. Those training providers, who have no prior affiliation with any government institution, will go through a pre-screening process of the SSCs according to an Affiliation Protocol prepared by SSC.
4. The willingness of a training provider to permit trainees to pay part of their fees after the monetary reward has been received, shall be considered while approval is granted for such training provider to be part of the Scheme.
5. No fees shall be charged by the SSCs for the approval process of training providers at Para 4.2 (b) above, for each Courseware aligned to a job role. Charges will be applicable only for training of trainers and their assessments.
6. The list of all the training providers in the skill development space that have been associated with any government institution shall be available on the NSDA website. The list of all the training providers in the skill development space that are NSDC partners, and those that are pre-screened as per Para 4.2 (c) above shall be available on the website in addition to the QPs, NOS, Approved Sectors and Job Roles.
7. Training programs will be for a minimum of 30 days duration and will include training on social skills like health, hygiene, communication skills etc. It will be ensured that assessments are planned by SSCs only after 30 days of commencement of the training. The 30 days duration of training may also include On the Job training, Internships etc. if required.

Eligible Beneficiaries

In line with the objectives stated above, this Scheme is applicable to any candidate of Indian nationality who:
1. undergoes a skill development training in an eligible sector by an eligible training provider as defined above;
2. is certified during the span of one year from the date of launch of the scheme by approved assessment agencies as defined above;
3. Is availing of this monetary award for the first and only time during the operation of this Scheme.
The Scheme is currently meant only for candidates availing themselves of skill development trainings from eligible providers. Recognition of Prior Learning may be covered later during the currency of the Scheme.

Placement and Awards

1. The banking network will be used for direct transfer of the funds to the candidates / training provider. The reward corpus will be placed with a nodal bank in each District in consultation with the Indian Banks Association that will then create a consortium to ensure disbursement of the amount into the account of the beneficiary/ies. Details of such Banks in each district would be given wide publicity on relevant websites.