The Ministry has conveyed its decision to the Home Ministry which had forwarded representations made by different stakeholders to it earlier in response to the GoM on Telangana inviting suggestions on bifurcation of the state.
The decision would be placed before the GoM for consideration, sources in the Ministry said.
The ministry has also cleared an IISER and an IIIT for the region.
The move is aimed at striking a balance between the two regions -- Telangana and Seemandhra -- as far as establishment of premier institutes are concerned, though the end objective is to ensure that students derive maximum benefit, they said.
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The ministry's decision assumes significance as the bifurcation of Andhra Pradesh will leave the Seemandhra region without any of the elite higher educational institutes which are mostly concentrated in Hyderabad in the Telangana region.
HRD Minister M M Pallam Raju represents the Kakinanda constituency in Seemandhra.
In their representation, various stakeholders had suggested that all central institutions in Seemandhra should be backed by a bill and all national parties should sign it.
"Most of the highly developed educational institutions are going to the state of Telangana. The Centre should immediately grant the above said institutions and they should come into operation within a year," the representations said.