A parliamentary panel has raised concerns over the effectiveness of the Pradhan Mantri Kaushal Vikas Yojana (PMKVY) scheme, citing high dropout rates and poor fund utilization.
The panel recommended an independent evaluation of the programme to assess whether high dropout rates and failures in assessment point to deeper systemic issues, including poor quality of training, gaps in implementation, or inadequate focus on employment outcomes.
Over 635,000 candidates dropped out of 3.34 million candidates before their assessment in the PMKVY fourth edition, prompting the panel to flag concerns over the underutilization of funds.
The ministry's allocation has risen to ₹6,017 crore for 2026–27, a 62% increase over the previous year, but actual utilisation remains weak.
The panel cited 'delayed approvals', 'slow pace of implementation', and weak coordination with states and industry as reasons for the poor fund utilization.
The panel recommended a National Level Skill Board with the participation of states for the effective implementation of the schemes and suggested that the ministry should focus on a few flagship skilling schemes and let states handle the others.
