An Anganwadi centre is the best place for children to learn. It provides pre-school education to children in the age group of 3 - 6 years through joyful activities based on play. Children who have attended pre-primary schools or Anganwadi centres typically learn material fast compared to a formal system and through social interaction with other children and it helps early grades of primary education. Anganwadi Centre provides both nutrition and education to children through early childhood care and education. In the rural and tribal areas, the Anganwadi centres develop the learning capacity and introduce the children to the primary school environment as well. Exploring through secondary sources and data, the paper critically examines the impact of Anganwadi centres in reducing the school dropout rate and enrolment in primary schools and improving the health of tribal children