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Since ancient times, the Indian Knowledge Tradition has presented a holistic approach to education, primarily emphasizing the intellectual, moral, social, and spiritual development of students for their overall upliftment. In the current modern era, the education system has become predominantly vocational and examination-centric; consequently, numerous obstacles have arisen regarding the holistic development of students. In this specific context, the National Education Policy 2020 places special emphasis on the re-establishment of the Indian Knowledge Tradition and on educational inclusion (Ministry of Education, 2020). This education policy underscores the necessity of integrating traditional Indian knowledge with formal education to foster values, ethics, social consciousness, cultural awareness, and life skills development in the lives of students. Through the cultivation of Yoga, spirituality, meditation, the Sanskrit language, culture, the Vedas and Upanishads, and experiential learning, an endeavor has been made to promote a sense of self-discipline, concentration, and self-realization among students. The integration of the Indian Knowledge Tradition into students' lives facilitates knowledge acquisition, values-based education, and sensitivity, while fostering their development into self-reliant citizens (Altekar, 2009). This research abstract elucidates the fact that, through the policy formulation of the National Education Policy 2020, the resurgence of the Indian Knowledge Tradition is of paramount importance and relevance for the holistic development of students' lives.