Union Finance Minister Nirmala Sitharaman on February 1 unveiled key announcements for the education sector while presenting the Union Budget 2026-27 in Parliament.

Among the major highlights was the proposal to develop five new university townships near major industrial and logistics corridors across the country, aimed at strengthening higher education and skill development in strategically important regions.

The initiative is expected to create integrated academic ecosystems that combine education, research, skill training and residential facilities, while also supporting states located along key economic routes.

Five University Townships Near Growth Corridors

As part of the announcement, the finance minister said, "Our government will support states through challenge group in creating five University townships in the vicinity of major industrial and logistics corridors," underlining the Centre's plan to work closely with states to develop these large academic clusters.

The proposed university townships will host multiple colleges, universities, research institutions, and skill centres. Residential complexes are also planned within these townships to provide accommodation for students, faculty and researchers, ensuring a fully integrated campus environment.

By placing these townships close to industrial and logistics corridors, the government aims to improve access to education while aligning academic output with industry needs.

Focus on STEM Education and Support for Women Students

The Budget also placed special emphasis on higher education in science, technology, engineering, and mathematics (STEM). Acknowledging the challenges faced by women students in STEM institutions where extended study hours and laboratory work are common the government announced support measures through viability gap funding and capital assistance.

To further strengthen safety and access, one girls' hostel will be established in every district, a move expected to significantly improve participation of women in higher education, especially in technical and research-focused disciplines.

Boost to Astronomy and Astrophysics Infrastructure

In addition to university townships, the Budget outlined plans to promote astronomy and astrophysics research in India. Four major telescope and planetarium infrastructure facilities will be established or upgraded. These include the National Large Solar Telescope, the National Large Optical Infrared Telescope, the Himalayan Chandra Telescope, and the Cosmos-2 Planetarium.