Govt Revamps PM Internship Scheme with Higher ₹9,000 Stipend, Wider Age Limit After Low Uptake

Initially, the Centre's initiative received a rather cool response. Hence, it plans to completely revamp the Prime Minister Internship Scheme with several attractive features like a much higher stipend, looser eligibility norms, and a shorter duration so that it becomes a magnet for the youth.

Government sources shared that the updated scheme would be able to provide a monthly stipend of 9,000 instead of 5 000 the earlier amount. Out of this, the government will be giving 8,100 and the remaining 900 would be the companies' contribution done through CSR (Corporate Social Responsibility) funds.

The age participation bar has been raised to 1825 years from the old range of 2124 years. This move has twofold advantages i.e. if more talented youth can be brought to the fore, then also they can be the beneficiaries of the programme which was first of all, designed to be their source.

Moreover, one more major development is that the internship period has been curtailed and it will now be only 69 months as against the previous 12 month schedule. So, the businesses first will choose the exact duration of the internship. This arrangement also gives the companies and the candidates a better choice of times.

Launched in October 2024 following its announcement in the Union Budget 2024–25, the scheme is administered by the Ministry of Corporate Affairs. The next round of internships is expected to be announced soon, with listings likely to go live within the coming week.

Low Participation, High Dropouts Prompt Changes

The revamp comes after disappointing participation and high attrition rates in the first two pilot rounds.

In the first round, companies extended 60,866 internship offers, of which 28,144 were accepted. However, only 8,760 candidates joined, and more than half—4,702 interns (53.6%)—dropped out midway. Ultimately, just 3,417 candidates completed the full programme.

The second round, launched in April 2025, saw over 300 companies offering 71,195 internships. While 24,638 candidates accepted the offers, only 7,300 joined physically. Of these, 2,464 candidates (33.7%) exited before completion. Final completion data is still awaited.

Officials attribute the low uptake to location constraints, long internship duration, and lack of job assurance post-completion, with many candidates unwilling to relocate beyond short distances.

Push to Make Scheme More Viable

The revised structure aims to address these concerns by making the programme more financially viable and time-efficient. By increasing stipends and reducing duration, the government hopes to align the scheme more closely with the expectations of India’s youth and industry requirements.

The upcoming round will be a crucial test for the scheme, which was envisioned as a flagship initiative to enhance employability and provide hands-on industry exposure at scale.