Is it possible to assign by default a specific workflow for all the projects created under a specific category?

We have multiple project categories, each category has its own workflow. We need a way to associate the workflow automatically when we create a project in the specific category. Can we set default work flow based on categories? 

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I'm afraid not.  Category is just for grouping projects together for your users, it has nothing to say about the configuration of the projects.

It there any other way to set the default workflow - for specific group of project - if it cant be done through categories can we do it by project type ? e.g. Agile - Workflow 1 etc.

There is no "project type", those are templates, only used when initially creating a project. Select the right one there, and yes, but if you change a template (requires some code), it won't affect existing projects.

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