Budget 2026: Modi government may raise intern stipend
What's the story
The Indian government is likely to increase the one-time stipend given to interns under the Prime Minister's Internship Scheme (PMIS), according to Moneycontrol. At present, new interns are provided a direct benefit transfer of ₹6,000. This amount could be increased by ₹1,000-2,000. The proposed change comes as part of a broader effort to boost employment opportunities in the country.
Employment focus
Government's commitment to employment creation
The Indian government is committed to creating jobs for 350 million Indians by July 31, 2027. To achieve this goal, it plans to allocate over ₹30,000 crore in the 2026-27 budget for the Employment Linked Incentive Scheme (ELIS). The Union Cabinet has already approved a budgetary allocation of ₹99,446 crore for these initiatives until July 31, 2027.
Stipend hike
Corporate Affairs Ministry may increase PMIS stipend
The Ministry of Corporate Affairs is also considering increasing the one-time stipend given to interns under the PM Internship Scheme. The current amount stands at ₹6,000 per new intern and could be raised by ₹1,000-2,000. An official from the ministry said that "employment creation is a priority for the government" and they are open to measures that would boost traction for this scheme.
Budget recommendations
CII recommends increased budget allocation for capex
The Confederation of Indian Industry (CII) has recommended a 12% hike in the budgetary allocation for capital expenditure (capex) for FY27. The current outlay is pegged at ₹11.21 lakh crore, which would increase to about ₹12.6 lakh crore with this proposed hike. The CII has also suggested a 10% increase in the allocation for the 50-year interest-free capex-loan scheme for states next year.
Sectoral support
Support for MSMEs and labor codes execution
The MSME sector is also expected to get more support in the upcoming budget, with measures such as easier access to finance at lower interest rates and fewer regulatory burdens. Experts say that with the Labor Codes now in place, the Union Budget's role is about financing implementation rather than reform announcements. This includes funding social security for gig workers, unorganized labor coverage, health and pension benefits provision.