NAPS-2 — Up to ₹1,500/Month Stipend Support for Apprentices
MSDE's Central Sector Scheme that shares 25% of an apprentice's stipend with establishments — up to ₹1,500 a month — through DBT.
- Funding amount
- Varies by program
- Funding type
- Subsidy
- Provider
- Ministry of Skill Development and Entrepreneurship (Government)
- Application deadline
- Rolling
- Eligible stage
- Any stage
- Location
- Open to startups registered in India
Overview
NAPS-2 is a Central Sector Scheme administered by the Ministry of Skill Development and Entrepreneurship (MSDE). It is fully funded by the Government of India and operates as a sub-component of the wider Skill India Programme, with MSDE responsible for regulating, managing and monitoring it.
The scheme's purpose is to widen apprenticeship training across the country. It does this by sharing a part of the stipend that apprentices are paid, by giving employers an incentive to take them on, by building capacity across the apprenticeship ecosystem, and by offering advocacy support to the stakeholders involved. Engagement formalities have also been simplified so that businesses face fewer procedural hurdles.
The story began with the original National Apprenticeship Promotion Scheme, introduced by MSDE on 19 August 2016. NAPS-2 carries that effort forward under the Apprentices Act, 1961.
Scale matters here. MSDE expects 46 lakh apprentices to be trained between FY2022-23 and FY2025-26. A key aim is converting more of them into employment, helped by quick registration on the National Career Service (NCS) portal. The infrastructure sector gets dedicated attention through platforms such as Gati Shakti. NAPS-2 also supports newer models that upgrade informal-economy apprenticeship, with a focus on craftsmen, artisans and traditional skills.
Highlights
- Government shares 25% of the stipend, capped at ₹1,500 per month per apprentice
- Stipend support reaches the apprentice directly through DBT on PFMS
- Open to all types of establishments, with MSMEs and underserved regions particularly encouraged
- Rolling applications — no fixed last date
- Target of 46 lakh apprentices trained between FY2022-23 and FY2025-26
- Covers both Central Government-notified Designated Trades and employer-decided Optional Trades
Who can apply
Two sides take part in NAPS-2 — the apprentice and the establishment — and each has its own conditions.
For apprentices
- The minimum age is 14 years, as laid down under Section 3(a) of the Apprentices Act, 1961.
- For designated trades in hazardous industries, the minimum age rises to 18 years.
- To receive the government's partial stipend support, the apprentice must be no older than 35 years when registering.
- Mobile OTP authentication is compulsory for every candidate.
- Every candidate must update their Aadhaar number and complete e-KYC on the apprenticeship portal. Until that is done, an establishment cannot issue a contract to them.
For establishments
- The scheme is broadly open to all types of establishments in India.
- Micro, Small and Medium Enterprises (MSMEs) are specifically encouraged to enrol apprentices, as are establishments in underserved locations such as aspirational districts and the North-East Region.
NAPS-2 — Up to ₹1,500/Month Stipend Support for Apprentices is open to startups at any stage. It is open to startups registered anywhere in India.
- Eligible stage
- Any stage
- Location
- Open to startups registered in India
Deadline & timing
NAPS-2 — Up to ₹1,500/Month Stipend Support for Apprentices accepts applications on a rolling basis — there is no fixed cut-off date, so eligible startups can apply at any time. Because rolling programmes can pause without notice, confirm the window is still open on the official site before you start.
What the funding covers
The core benefit is a shared stipend bill. The Government of India covers 25% of the stipend an establishment pays its apprentice, subject to a ceiling of ₹1,500 per month per apprentice.
The money does not reach the employer. It is credited straight into the apprentice's bank account through Direct Benefit Transfer (DBT) on the PFMS platform. Even so, the establishment's effective cost of engaging each apprentice comes down, which is what makes the model workable for smaller businesses.
NAPS-2 is a subsidy, so it takes no equity and nothing has to be repaid.
Beyond the stipend support, the scheme also covers:
- Capacity building within the apprenticeship ecosystem.
- Advocacy assistance for stakeholders, along with simplified engagement processes.
- Access to a skilled workforce that is trained on the job, which is especially useful for MSMEs.
- Up-skilling avenues for candidates who have already come through Central and State Government skill development programmes.
About the provider
NAPS-2 — Up to ₹1,500/Month Stipend Support for Apprentices is offered by Ministry of Skill Development and Entrepreneurship, a government body. As a government-backed subsidy, it is publicly funded and open to eligible startups across India.
How to apply
Applications are submitted on the . Confirm the current deadline and document checklist there before you start.
Selection process
NAPS-2 does not run a competitive selection round. The scheme guidelines lay out no shortlisting or screening process for establishments — participation is driven by the incentive on offer, and employers engage apprentices directly. The steps that do exist are procedural:
- The candidate registers on the apprenticeship portal.
- The candidate updates their Aadhaar number, completes e-KYC and clears mobile OTP authentication.
- The establishment issues an apprenticeship contract to a candidate who has completed that registration.
- Government stipend support then flows to the eligible apprentices engaged through this route.
Training happens under two categories of trade. Designated Trades (DT) are notified by the Central Government and span fields such as engineering and vocational courses. Optional Trades (OT) are decided by the employer according to its own requirements. Apprenticeship duration differs from one trade to another.
Documents you’ll need
Before you apply to NAPS-2 — Up to ₹1,500/Month Stipend Support for Apprentices, keep the following documents ready:
- A pitch deck or short business plan describing the problem, product and traction
- Company registration documents and PAN
- Founder identification (PAN / Aadhaar) and brief profiles
- Recent financial statements or projections
- Product details — a demo, prototype or working link if available
Exact requirements are confirmed on the official application portal — treat this as a preparation checklist.
Frequently asked questions
How much funding does NAPS-2 provide?
The Government of India covers 25% of the stipend an establishment pays its apprentice, up to a ceiling of ₹1,500 per month for each apprentice. This is a subsidy, so it takes no equity and does not have to be repaid.
Who actually receives the stipend money?
The apprentice does. The government's share is sent directly to the apprentice's bank account through Direct Benefit Transfer (DBT) using the PFMS platform, rather than being routed through the employer.
Who is eligible to enrol as an apprentice?
The minimum age is 14 years, and 18 years for designated trades in hazardous industries, as specified under Section 3(a) of the Apprentices Act, 1961. To be eligible for the government's partial stipend support, an apprentice must be 35 years or younger at the time of registration.
Is there an application deadline for NAPS-2?
No. Applications are rolling and the scheme stays open, so there is no fixed last date to register on the apprenticeship portal.
Does NAPS-2 require DPIIT recognition or MSME registration?
The eligibility rules for NAPS-2 do not list DPIIT recognition or MSME registration as a condition. What matters is the apprentice's age, Aadhaar linkage, completion of e-KYC and mobile OTP authentication. MSMEs are actively encouraged to participate, but the scheme is open to all types of establishments.
Which establishments does the scheme particularly want to reach?
Small and medium businesses top the list — Micro, Small and Medium Enterprises (MSMEs) — along with establishments operating in underserved areas such as aspirational districts and the North-East Region. Otherwise, the scheme is broadly open to every type of establishment in India.
What details and documents do candidates need at registration?
A mobile number and email ID are used to create the portal account. Candidates then need to enter their Aadhaar number, complete e-KYC and clear mobile OTP based authentication. An establishment can only issue an apprenticeship contract once the candidate has updated their Aadhaar number and finished e-KYC.
How do I apply for NAPS-2?
Go to the official Apprenticeship Portal at https://www.apprenticeshipindia.gov.in/ and click Login/Register. Choose your role — Candidate, Establishment or Third Party Aggregator — and sign up with your mobile number and email ID. Candidates then complete Aadhaar-based e-KYC and OTP verification, after which establishments can issue contracts to eligible candidates. The scheme guidelines are available at https://naps-cdn.s3.ap-south-1.amazonaws.com/NAPS+2.0_Guidelines_25-08-2023.pdf.
What kinds of trades are covered?
Both. Designated Trades (DT) are notified by the Central Government and cover areas such as engineering and vocational courses. Optional Trades (OT) are set by the employer based on its own needs. The duration of apprenticeship varies by trade.
Is NAPS-2 part of a larger government programme?
Yes. It is a Central Sector Scheme functioning as a sub-component of the Skill India Programme. It is 100% funded by the Central Government, with MSDE handling its regulation, management and monitoring, and it continues the work of the original NAPS that began on 19 August 2016.
Does NAPS-2 — Up to ₹1,500/Month Stipend Support for Apprentices take equity?
No. NAPS-2 — Up to ₹1,500/Month Stipend Support for Apprentices is subsidy and is non-dilutive — the provider does not take an equity stake in your startup.
Who offers NAPS-2 — Up to ₹1,500/Month Stipend Support for Apprentices?
NAPS-2 — Up to ₹1,500/Month Stipend Support for Apprentices is offered by Ministry of Skill Development and Entrepreneurship, a government body. It is provided as non-dilutive funding.
Alternatives to NAPS-2 — Up to ₹1,500/Month Stipend Support for Apprentices
Not sure NAPS-2 — Up to ₹1,500/Month Stipend Support for Apprentices is the right fit, or already applied? These are other subsidies open to Indian startups that founders shortlist alongside it.
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