"The Covid pandemic has dealt a severe blow to education systems around the world... but it is the contribution of teachers during these hard times that is making the difference", said Stefania Giannini, assistant director general of Unesco, a partner in the competition.
Mr Disale also redesigned the textbooks, embedding them with QR codes to give students access to audio poems, video lectures, stories and to set them homework.
The Indian teacher was announced by renowned actor Stephen Fry as the victor of the Global Teacher Prize 2020 at a virtual ceremony broadcast on Thursday from the Natural History Museum in London.
But Ranjitsinh Disale has already given away half of the $1m (£750,000) - sharing it with runners-up in the competition.
He was selected from 12,000 nominations from more than 140 countries around the world.
His gesture means the other nine finalists will receive just over $55,000 each, making history as the first victor to share his prize money.
Mr Disale is the sixth victor of the award, which is sponsored by the United Nations' educational and cultural agency Unesco.
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Indian now has more than 9.5 million coronavirus cases, the second-highest in the world after the United States.
Mr Disale, who believes that teachers are the world's "real changemakers", announced that he will be sharing 50 per cent of his prize money with his fellow finalists to support their "incredible work". He started teaching at the school in 2009, when it was in a rundown building next to a cattle shed, according to organizers.
School attendance is now 100 percent, and one girl from the village has graduated from university, the organisers said.
Mr Disale was praised by the competition's judges for his work to ensure disadvantaged girls went to school and achieved high results - rather than missing out on school and facing early marriage.
With few resources, he took on the challenge of specially learning the local language Kannada in order to translate textbooks.
"Teachers like Ranjitsinh will stop climate change and build more peaceful and just societies".
"Teachers like Ranjitsinh will eliminate inequalities and drive forward economic growth", she said. He won the prize his efforts to promote girls' education and trigger a quick-response (QR) coded textbook revolution in India.
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