New Delhi: The Punjab government and Tata Motors will set up a driving training institute in Muktsar at a cost of Rs.125 million that will help youngsters secure jobs as skilled drivers.

A memorandum of understanding (MoU) was signed in the national capital Tuesday in the presence of Punjab Chief Minister Parkash Singh Badal and Tata Motors managing director Ravi Kant.

According to the MoU, the state government will spend Rs.100 million while the firm will contribute the remaining amount.

Badal said the State Institute of Automotive and Driving Skills will help thousands of unemployed youth who will get an opportunity to learn the driving skills and secure jobs.

"There is tremendous demand for skilled drivers not only in India but also abroad," he said.

The institute will impart training for driving heavy and light commercial vehicles, buses, passenger cars and earth-moving equipment besides for auto mechanics, welding, painting, electronics and air conditioning.