The government announced that five lakh students from engineering colleges, polytechnics and Industrial Training Institutes (IT Is)

Chennai: The Tamilaga Vettri Kazhagam (TVK) government on Wednesday unveiled its maiden Budget for 2026-27, focusing on education, skill development, women's welfare and infrastructure, while also promising greater transparency in governance.
Presenting the Budget in the Assembly, Finance Minister N. Marie Wilson announced a slew of welfare measures, including a gold assistance scheme for brides, expansion of AI training, free laptops for students and investments in school modernisation.
Gold coin and silk saree for brides
Fulfilling a key election promise, the government announced the 'Annan Seer Thittam', under which brides will receive an eight-gram (one sovereign) gold coin and a silk saree. The scheme has been allocated ₹812 crore.
Major push for education
The government allocated ₹44,527 crore to the School Education Department and ₹8,393 crore to the Higher Education Department.
Among the key announcements:
- ₹2,000 crore for the Vetri Laptop Scheme.
- ₹300 crore this year under the Palli Niraivu Thittam to modernise 3,734 government schools, part of a larger ₹2,132-crore project.
- 'Super Clean, Super Campus' scheme with ₹139 crore to improve sanitation, drinking water, toilets and security in 10,000 schools.
- Perunthalaivar Kamarajar Model Schools with ₹125 crore to establish modern residential schools providing free education, accommodation, uniforms, textbooks, food and healthcare.
- ₹25 crore for the 'Katralil Mudhalidam Tamil Nadu' school curriculum reform initiative.
- Free bicycles equipped with helmets and water bottles for 5.3 lakh Class XI students under the 'Puthiya Payanam, Puthiya Vegam' scheme at a cost of ₹277 crore.
AI training and job skills
The government announced that five lakh students from engineering colleges, polytechnics and Industrial Training Institutes (ITIs), along with faculty members, will receive artificial intelligence (AI) training by 2031.
Under the Vetrithiran Training Scheme, one lakh job seekers will receive skill and employability training. In the first phase, 20,000 youth will be trained in partnership with government and private organisations. Graduates and vocational trainees will receive a monthly stipend during training. The scheme has been allocated ₹150 crore.
An additional ₹3.38 crore has been earmarked to provide coaching for SSC, RRB and IBPS competitive examinations at District Employment Centres.
New educational institutions
The Budget announced:
- Five new Industrial Training Institutes (ITIs) at a cost of ₹90 crore.
- A new law college in Madurai with an intake capacity of 300 students.
- Expansion of the TN Spark Scheme from 5,000 government schools to another 2,600 schools.
Student hostels
The government will establish the Tamil Nadu Student Hostels and Infrastructure Corporation (TNSHIC) with an initial corpus of ₹10 crore.
Under the TN-SUDAR scheme, the state plans to build 200 integrated student hostels providing one lakh modern accommodation facilities at an estimated cost of ₹3,200 crore through the Public-Private Partnership (PPP) model.
Revenue and governance
The Finance Minister said the government was taking steps to improve both tax and non-tax revenues.
He also said the TVK government had ended the practice of awarding tenders to select individuals and political parties, promising greater transparency in public procurement.
The minister further said Tamil Nadu's outstanding debt had doubled over the past five years, while assuring that the new government was committed to strengthening the state's finances.
Published: 05 Aug 2026, 11:02 am IST
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