Himachal Govt To Offer Education Loan To Underprivileged Students On 1 Percent Interest Rate

'Mukhyamantri Vidyarthi Protsahan Yojna,' aims to allocate Rs 200 crore to provide education loans to underprivileged children.

Himachal Govt To Offer Education Loan To Underprivileged Students.

Source : Pixabay

Shimla: Himachal Pradesh Chief Minister Sukhvinder Singh Sukhu announced on Monday that a scheme would be launched in the current financial year to provide education loans at a nominal interest rate of one percent to poor students who wish to pursue higher education and professional courses. The proposed scheme, named 'Mukhyamantri Vidyarthi Protsahan Yojna,' aims to allocate Rs 200 crore to provide education loans to underprivileged children belonging to families with an annual income of less than Rs 3 lakh, as reported by PTI.

The education loans will be available through financial institutions or banks, and the interest rate will be only one percent. The loans will be used to cover tuition fees, accommodation expenses, book expenses, and other necessary expenses related to their education. The Chief Minister announced this scheme in a statement.

'Mukhyamantri Vidyarthi Protsahan Yojna' scheme will cover a wide range of professional courses, including engineering, medical, management, PhD courses from ITIs, Polytechnic, B Pharmacy, nursing, General Nursing and Midwifery (GNM), among others. The loans provided will cover various expenses associated with the courses, such as tuition fees, accommodation charges, book expenses, and other allied expenses.

"The main objective of the scheme is to ensure that no poor child in the state is deprived of higher and professional education for want of financial resources," the statement stated.

The Chief Minister said that the one percent interest rate is intended to foster a sense of accountability among the recipients, motivating them to strive towards their goals. Additionally, he announced a subsidy of Rs 25,000 for the purchase of electric scooties to be provided to 20,000 high-achieving female students, over the age of 18, enrolled in government institutions.

This initiative is expected to have a dual impact: not only will it motivate female students to pursue advanced education, but this will also help to develop Himachal Pradesh as a "green state".