Govt proposes setting up of content creator labs, Budget 2026 sets aside Rs 250 crore for talent development in AVGC

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Finance Minister Nirmala Sitharaman on February 1 extended support to the Orange Economy.

Sitharaman announced support to Indian institute of Creative Technologies (IICT) in Mumbai in setting up Animation, Visual Effects, Gaming and Comics (AVGC) content creator labs in 15,000 secondary schools and 500 colleges.

The government has earmarked Rs 250 crore for talent development in Animation, Visual Effects, Gaming and Comics (AVGC) sector in Budget 2026-27.

It has also allocated Rs 35 crore for National Film Development Corporation (NFDC) and National Centre of Excellence for Animation, Visual Effects, Gaming and Comics - Extended Reality (NCoE AVGC-XR). The allocation is up from Rs 17 crore in Budget 2025-26.

"Animation, Visual effects, Gaming and Comics (AVGC) sector projected to require 2 million professionals by 2030," she said in her Budget 2026 speech.

Budget 2026 treat digital infrastructure as cultural infrastructure, said Ananay Jain, Partner and National Media & Entertainment Industry Leader Grant Thornton Bharat.

"Targeted support for data centres, AI-driven content creation, AVGC studios and IP ownership would allow Indian creators and platforms to retain value rather than export it," Jain said.

Government has responded by investing further in IICT Mumbai and committing to train 2 million students by setting up content creator labs in 15,000 secondary schools and 500 colleges, he added.

The Union Budget’s focus on content creator labs and AVGC infrastructure signals a meaningful shift — it recognises the creator economy not just as entertainment, but as a future-ready industry and a legitimate career path, said Aryan Anurag, Co-founder, Binge Labs.

"Introducing these labs at the school and college level can democratise access to creative tools, especially for students beyond metro cities, and help India build a stronger pipeline of storytellers, designers, and digital entrepreneurs. The real opportunity will lie in combining infrastructure with mentorship and industry exposure, so young creators learn not only how to create content, but how to build sustainable careers around it,” he said.

Filmmaker Boney Kapoor also said that the Noida Film City is set to become home to the world’s largest integrated Content Creators’ Incubation and Lab Ecosystem aligning with Budget 2026's vision.

The Film City will feature state-of-the-art studios, advanced technology hubs, structured incubation labs, mentorship by industry leaders.

Kapoor said that the Film City will be a place where creators will go beyond institutional learning to launch full-fledged careers, develop intellectual properties (IPs), and build globally scalable creative businesses.