Thu Nov 07 07:16:15 UTC 2024: ## PM Modi Launches “PM Vidyalaxmi” Scheme to Support Higher Education Dreams

**New Delhi:** The Indian government has launched the **PM Vidyalaxmi scheme**, a new initiative aimed at ensuring financial constraints don’t hinder students from pursuing higher education. The scheme was approved by the Union Cabinet chaired by Prime Minister Narendra Modi, and it will allocate ₹3,600 crore over the next seven years (2024-25 to 2030-31) for supporting an estimated 22 lakh students.

Under PM Vidyalaxmi, students admitted to top-ranked institutions will be eligible for **collateral-free, guarantor-free loans** of up to ₹10 lakh. These loans will cover full tuition fees and other associated expenses. The scheme will be administered digitally through a user-friendly, transparent platform.

**Key features of the scheme include:**

* **Eligibility:** Students pursuing higher education at institutions ranked within the top 100 in NIRF rankings (overall, category-specific, and domain-specific) will be eligible. Additionally, state government HEIs ranked between 101-200 in NIRF and all central government institutions are included.
* **Financial Support:** Students with an annual family income of up to ₹8 lakh, who are not eligible for other government scholarships, can avail a 3% interest subvention on loans up to ₹10 lakh. This benefit will be extended to 1 lakh students annually, prioritizing those from government institutions and pursuing technical/professional courses.
* **Credit Guarantee:** For loans up to ₹7.5 lakh, a 75% credit guarantee is provided for outstanding defaults.

**Interested students can apply for both education loans and interest subvention through the unified portal ‘PM-Vidyalaxmi’ on the Department of Higher Education website.**

The PM Vidyalaxmi scheme is expected to significantly boost accessibility to higher education for deserving students across the country.

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