The Union Cupboard on Wednesday authorised the PM-Vidyalaxmi scheme to supply financial assist to meritorious college students in order that monetary constraints don’t forestall them from pursuing high quality greater schooling, Union Minister Ashwini Vaishnaw stated.
For mortgage quantities as much as ₹7.5 lakhs, the coed may even be eligible for a credit score assure of 75 computer of excellent default.(HT file)
As per the scheme, anyone who will get admission to High quality Larger Schooling Establishments (QHEIs) can be eligible to get collateral-free, guarantor-free loans from banks and monetary establishments to cowl the total quantity of tuition charges and different bills associated to the course.
An outlay of ₹3,600 crore has been authorised for the scheme beneath which schooling loans can be facilitated to college students securing admissions within the prime 860 QHEIs of the nation based mostly on the Nationwide Institutional Rating Framework (NIRF). This may cowl greater than 22 lakh college students yearly.
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“The Cabinet has approved the PM-Vidyalaxmi scheme to provide financial support to meritorious students so that financial constraints do not prevent any youth of India from pursuing quality higher education,” Vaishnaw stated at a press convention right here.
The scheme can be relevant to the highest QHEIs as decided by the NIRF rankings – together with all HEIs, authorities and personal, which might be ranked throughout the prime 100 in NIRF in general, category-specific and domain-specific rankings, state authorities HEIs ranked in 101-200 within the NIRF and all central government-run establishments.
“This list will be updated every year using the latest NIRF ranking, and to begin with 860 qualifying QHEIs, covering more than 22 lakh students to be able to potentially avail benefits of PM-Vidyalaxmi, if they so desire,” an official assertion stated.
For mortgage quantities as much as ₹7.5 lakhs, the coed may even be eligible for a credit score assure of 75 computer of excellent default.
“This will give support to banks in making education loans available to students under the scheme. In addition, for students having an annual family income of up to ₹8 lakhs, and not eligible for benefits under any other government scholarship or interest subvention schemes, 3 percent interest subvention for loans up to ₹10 lakhs will also be provided during the moratorium period.
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“The curiosity subvention assist can be given to 1 lakh college students yearly. Choice can be given to college students who’re from authorities establishments and have opted for technical {and professional} programs. An outlay of ₹3,600 crore has been made throughout 2024-25 to 2030-31, and seven lakh contemporary college students are anticipated to get the good thing about this curiosity subvention through the interval,” the statement said.
The Department of Higher Education will have a unified portal, ‘PM-Vidyalaxmi’, on which students will be able to apply for the education loan as well as interest subvention, through a simplified application process to be used by all banks. Payment of interest subvention will be made through e-vouchers and Central Bank Digital Currency (CBDC) wallets.
Union Education Minister Dharmendra Pradhan said the scheme will empower millions of students from the poor and middle class.
“Universalising entry to twenty first century greater schooling for India’s proficient youth is PM Modi’s assure. PM’s approval to #PMVidyalaxmi with an outlay of ₹3,600 crore will take away obstacles to greater schooling and allow our yuva shakti to pursue their goals.
“Collateral-free and guarantor-free education loans under PM Vidyalaxmi will maximise access to higher education for meritorious students and ensure that financial constraints do not prevent students from pursuing education,” he stated in a submit on X.
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