Understanding NSDC: Full Form, Courses, and Eligibility Details

As India’s significant portion of the population is young and making up the country’s workforce, it is making rapid strides toward a bright future. To further spur the country’s growth, the government of India is investing heavily in its demographic dividends and launching new initiatives that focus on the holistic development and skill enhancement of the young generation. One such initiative that has taken this direction is the launch of NSDC.

NSDC full form is National Skill Development Corporation. This corporation distributes funds to various organisations and entities that are part of the NSDC scheme and empowers the youth of India by helping them develop new skills. Let us know more about this corporation.

What is the National Skill Development Corporation?

The NSDC is a not-for-profit public limited company that was set up under Section 25 of the Indian Companies Act, 1956, by the Ministry of Finance in July 2008. The government of India holds 49% of NSDC share capital, and the remaining 51% belongs to the private sector.

It is a PPP, i.e., the Public-Private Partnership model. This means both the public and private sectors have equal participation in running the company. The stakeholders of the public sector include the central government and different state governments, and the private sector shareholders include universities, colleges, schools, and other organizations.

Objects of NSDC

Now that you know what is NSDC, let us know more about its objects and what purposes does it serve.

The NSDC is a public-private partnership company that was established for the development of various skills among Indians, especially the youth. Its main objects are:

• Creating quality, large-scale institutions for offering vocational training to all Indians
• Provide capital support to organisation part of the corporation through grants and equities
• Enable creation and sustaining of support systems for skill development among Indians

With these three main objectives, NSDC helps Indians upgrade their skills through industry involvement and develop the necessary framework for curriculum, maintaining standards, and quality assurance.

NSDC funding and its primary function

Any funding offered under the NSDC scheme carries an interest rate starting from 1.25% per month. The funding can be availed of by any entity other than a limited company. the repayment term for the fund obtained through the NSDC scheme is seven years, and it includes a moratorium period of three years.

The following table will give you a clear picture of the NSDC-funded affiliation

Eligibility criteria	Any legal entity, but not limited ones, can get funds under the NSDC scheme
Purpose of loan	Establishing training infrastructures, providing training aids and working capital
Interest rate	6% per annum
Repayment term	7 years
Moratorium period for principal repayment	3 years
Placement guaranteed percentage	70%
Collateral requirements	First charges on assets, cash flows, or IP developed under the project Personal or corporate guarantees or post-dated cheques hard collateral covering at least 30% of the loan amount

NSDC Courses

Another initiative that the government of India launched alongside NSDC was the ‘Skill India Mission.’ The main objective of this initiative was to provide holistic training to more than 40 crore youth by the end of the year 2022.

The courses offered under the initiative are meant to be vocational in nature and after completing the course, the individuals will be granted an NSDC certificate. This certification will stand them in good stead in their professional journey and increase their chances of earning a better livelihood.

The programs offered under this initiative are executed under a wide range of courses and training bodies, including

• NAPS – Apprenticeship training
• TITP (Technical Intern Training Program)
• Courses offered by ITI (Industrial Training Institute)
• Jan Shikshan Sanshtan
• DDU-GKY (Deen Dayal Upadhyaya Grameen Kaushalya Yojana)
• PMKVY (Pradhan Mantri Kaushal Vikas Yojana)

Features of NSDC

• NSDC has more than 462 training partners from different industries. It offers vocational training and skill development training in various fields so that youngsters with different interests can leverage these programs and work towards establishing a bright future for themselves.
  
• More than 11,000 training centers are associated with NSDC, and they are all located in different parts of the country. With such a large number of training centers, NSDC aims to offer training to youth coming from all kinds of demographic backgrounds.
  
• The youngsters who complete the training under NSDC and are ready to take on the next challenge, NSDC has more than 2100 job roles open for the applications that are waiting to be filled by bright candidates.
  
• NSDC consists of a core team, which includes 12 dynamic individuals. These people can be reached out to for any queries or concerns, and they are all well-equipped to help the youth navigate through the coursework and be successful in the program.
  
• NSDC has a record of placing more than 68 Lakh professionals after offering them training. This means a large number of people who complete the training program are able to get employment and live a better life.

Conclusion

National Skill Development Corporation India is a unique public-private partnership program that works to help the youth of India develop skills by offering them vocational training. Entities that are part of the NSDC scheme can also apply for a loan to build vocational training institutes.

If you are into an education or vocational training business and are looking for funding support beyond the NSDC loan, you can apply for a small business loan with Udyog Plus, which is an integral part of Aditya Birla Finance Limited, and get a loan of up to Rs. 2 Lakh without offering any documents or collateral and at affordable interest rate, which makes repayment easy.