Karnataka to establish AI-powered Skill Intelligence Unit; announces Rs 4,432 crore policy to skill 3 mn youth by 2032

The state government will establish an AI-powered Skill Intelligence and Strategy Unit, KSISU, under the Karnataka Skill Development Authority, KSDA, according to the new state Skill Development Policy, 2025–2032.

This seven-year policy charts an investment plan of Rs 4,432 crore to skill 3 million youth and make Karnataka a global hub for a future-ready workforce.

The Rs 4,432 crore-backed seven-year blueprint will make Karnataka a global hub for a skilled and future-ready workforce. We will skill 3 million youth by 2032, raise women's ITI enrolment to 33%, and double district-level skilling capacity, said CM Siddaramaiah after unveiling Karnataka Skill Development Policy 2025-32 at Bengaluru Skill Summit.

AI-driven strategy and data framework

The new policy would revolve around the Karnataka Skill Intelligence and Strategy Unit, powered by artificial intelligence and data analytics, to drive workforce planning and training delivery. It shall conduct skill gap studies at the district level, demand assessments, drawing data from District Skill Committees, ITIs, and GTTCs.

An AI-enabled forecasting model will map the emerging labour market trends, while a Skills Intelligence Framework and Dashboard will track the training outcomes. The state also proposes to introduce a Karnataka Skill Index (KSI) that will measure the progress of each district on parameters of access, quality, and employment outcomes.

"We are introducing institutional innovation through the Karnataka Skill Intelligence and Strategy Unit, District Skill Committees, and a Chief Minister's Fellowship to accelerate implementation on the ground," said the Chief Minister.

AI-powered learning tools

SDEL will introduce AI Counsellors, AI Tutors, and AI Assessors to make learning more adaptive and available through one digital portal. These tools will offer personalized career guidance, automated assessments, and modular learning pathways to students and job seekers.

A new Skill University is proposed at Sandur, Ballari district for the strengthening of academic-industry linkages and for advanced training.

Academia-industry partnerships and curriculum reform

The proposed 100 AI Academic-Industry Initiative will involve 100 industries and 100 academic institutions working toward alignment of training with industry demand. It will also provide training in AI and other emerging technologies to 10,000 students.

ITI, GTTC, and KGTTI courses will be continually upgraded to global standards in areas such as Artificial Intelligence, Green Energy, and Advanced Manufacturing, among others. Further, a State Challenge Fund of Rs 1 crore per year shall be provided to support innovation in district-level skilling.

New infrastructure and funding

To improve access, Multi Skill Development Centres will be established in Kalaburagi, Koppal and Mysuru in association with the Visvesvaraya Technological University. A Rs 300 crore Skill Park is also proposed at Sandur in Ballari district.

Though the funding will be available under various heads, the major contributors are: the ADB for Rs 1,386 crore, public-private participation with Rs 410 crore, and state resources with Rs 887 crore.

Embedding Skills in Education The Kalike Jothege Kaushalya or Learning with Skills programme would entail credit-based skill courses in all semesters at the undergraduate level in communication, digital literacy and technical training in emerging technologies. “This aims to create a seamless education-to-employment pathway and foster lifelong learning”. the policy said. 'Skills gateway to the world'. "Our goal is to make Karnataka the 'Skills Gateway to the World' - focusing on innovation, inclusion, and international employability," said Siddaramaiah. "Every skilled worker - from artisans in Mysuru to AI students in Hubballi - builds the new Karnataka. Our mission is clear - To make Karnataka the Skill Capital of India and a $1-trillion economy by 2032, powered by talent, technology, and tenacity," he added