A bill to include the Indian Institute of Management (IIM) Guwahati in the schedule of the Indian Institutes of Management Act, thereby declaring it an "Institution of National Importance," was introduced in the Lok Sabha on Monday, August 18, 2025. The bill, officially titled the Indian Institutes of Management (Amendment) Bill, 2025, was presented by Union Education Minister Dharmendra Pradhan amidst disruptions by the opposition regarding the Special Intensive Revision (SIR) of electoral rolls in Bihar.
The draft law highlights a Memorandum of Settlement (MoS) signed between the central government, the Assam government, and representatives of the United Liberation Front of Assam (ULFA) for the comprehensive development of the state. According to the MoS, the Union government will implement numerous developmental projects under a Special Development Package (SDP), with the establishment of IIM Guwahati as an institution of national importance being one of these projects.
The bill addresses a request from the Assam government for an IIM, considering the state's geographical location and overall development needs. It notes that Assam is one of the few states with a population exceeding three crore that does not have an IIM. The bill also emphasizes that over 550,000 students are enrolled in higher education institutions in Assam, and establishing an IIM would boost education and development in the northeastern region, providing significant opportunities for students to develop managerial skills.
To support the establishment of IIM Guwahati, the bill proposes a corpus of ₹555 crore for the institute over the next five years (2025–30), covering both recurring and non-recurring expenses. The draft stipulates that the Consolidated Fund of India will provide this amount. After this initial period, the institute is expected to become self-sustaining. IIM Ahmedabad will mentor IIM Guwahati. Efforts are underway to begin classes this year at a temporary campus provided by the state government, while the permanent campus will be established at Palasbari, near Guwahati, in the Kamrup district.
Currently, the Indian Institutes of Management Act specifies 21 IIMs as institutions of national importance. With the passage of this bill, IIM Guwahati will become the 22nd IIM and the second in the Northeast, after IIM Shillong in Meghalaya. Guwahati already hosts other prominent institutions, including IIT Guwahati, AIIMS Guwahati, and the National Law University Assam, reinforcing its position as a growing educational hub.
The original Indian Institutes of Management Act was enacted in 2017 and declared existing IIMs as "institutions of national importance". It also aimed to empower these institutions to achieve global standards of excellence in management, research, and related fields, granting them greater administrative, academic, and financial autonomy. The 2017 Act enabled IIMs to offer degrees instead of diplomas.
However, the Indian Institutes of Management (Amendment) Bill, 2023, introduced earlier, proposed changes to the 2017 Act, designating the President of India as the Visitor of every IIM. It also sought to empower the President to appoint the chairperson of the Board of Governors (BOG) and allow the central government to oversee IIMs. These proposed changes sparked debate regarding the autonomy of IIMs, with some experts fearing that the amendments would lead to increased government control, similar to that seen in central universities.