This allocation is in addition to the annual sports budget of Rs 1.5 crore, an IIT-Kharagpur press statement said today.
IIT-KGP will be setting up two synthetic courts each for tennis, basketball and volleyball, one synthetic athletic track and an indoor stadium with a food court, it said.
The premiere institute already houses a stadium for athletics, ground for cricket and football, several outdoor courts for tennis, basketball and volleyball and a swimming pool.
"The enhanced focus on sports activities would strengthen the wellness initiatives as a whole. Sports tend to inculcate leadership qualities and decision-making powers into individuals," President of Technology Students' Gymkhana, the hub of students' extra-curricular activities, William Mohanty said.
Tennis has recently received a major thrust at the institute with US-based alumnus and entrepreneur Vinod Gupta roping in T J Hyman, erstwhile coach of ace player Leander Paes, for a training programme.
He will be assisted by Warren Rhomfeld of US Professional Tennis Association.
"I want IITKGP to excel in sports. We have asked T J Hyman to train the institute's tennis team from January 2018," said Gupta.
The 2017 Inter-IIT Sports Meet for students and staff is scheduled for December in Chennai. A total of 23 IITs will be participating in the event this year in 13 categories.
The 2018 meet will be hosted by IIT-Delhi.