Lok Sabha Question No. 1585 (UNSTARRED), answered on 2016-03-04
Subject: Educational Loan
Ministry: FINANCE
Asked by: SANJAY(KAKA) RAMCHANDRA PATIL, SANTOSH KUMAR, MD. BADARIDDOZA KHAN, SADASHIV KISAN LOKHANDE, AJAY NISHAD

## 1585. SHRI SANJAY KAKA PATIL: SHRI SANTOSH KUMAR: SHRI MD BADARUDDOZA KHAN: SHRI SADASHIV LOKHANDE: SHRI AJAY NISHAD:

Will the Minister of Finance be pleased to state

- (a) whether the Government has any proposal to provide subsidy/low interest rates on educational loan and introduce a new employment oriented educational loan policy for economically weaker sections/backward students in the country and if so, the details thereof;
- (b) whether the Government provides loan to students for obtaining higher education, if so, the details thereof alongwith the amount of educational loans disbursed by banks during each of the last three years and the current year, bank and State-wise; and
- (c) the steps taken/being taken by the Government to provide easy loans to students and the time by which the proposed new education loan policy will be finalised by the Government?

## ANSWER

## To be answered by (MINISTER OF STATE IN THE MINISTRY OF FINANCE)

## (SHRI JAYANT SINHA )

- (a) There are three Central Sector Interest Subsidy Schemes for educational loans, already existing:
- (i) Central Scheme to provide Interest Subsidy (CSIS) administered by the Ministry of HRD. Under the scheme full interest subsidy is available for the students belonging to economically weaker sections, for studies in India, for educational loans disbursed on or after 1 st April, 2009 during the period of moratorium.
- (ii) PadhoPardesh scheme administered by the Ministry of Minority Affairs. The objective of the scheme is to award interest subsidy to meritorious students belonging to economically weaker sections of notified minority communities for overseas studies.
- (iii) DrAmbedkar Central Sector Scheme of Interest Subsidy on Educational Loan for Overseas Studies for Other Backward Classes administered by the Ministry of Social Justice and Empowerment. Under the scheme, interest payable by the students for the period of moratorium is borne by the Government of India.
- (b) All Scheduled Commercial Banks provide Educational Loan for pursuing higher education in India and abroad. The total education loans disbursed / outstanding of Public Sector Banks for the last three years are given in Annexure-I . State-wise data on the number of accounts and outstanding credit pertaining to Education Loan reported and classified as Priority Sector Advances by Scheduled Commercial Banks (SCBs) as on March, 31, 2013, 2014 and 2015 are furnished in Annexure-II .
- (c) The Model Education Loan Scheme is modified from time to time by Indian Banks' Association (IBA) keeping in view the needs of the students. The last such revision was made in August, 2015.
- In order to facilitate easy processing and disbursal of loans, Government has launched a web-based portal viz. Vidya Lakshmi Portal. Students can view, apply and track the education loan applications.

Government of India has launched a Credit Guarantee Fund Scheme for Education Loans (CGFSEL) wherein collateral free loan is given upto Rs.7.5 lakh.

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## MINISTRY OF FINANCE DEPARTMENT OF FINANCIAL SERVICES LOK SABHA UNSTARRED QUESTION NO. 1585 TO BE ANSWERED ON THE 4 TH

## MARCH, 2016, PHALGUNA 14, 1937 (SAKA) EDUCATIONAL LOAN

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## Annexure-I to reply of Lok Sabha UnStarred Question No. 1585 for answer on 4th March, 2016 Data on Education Loan for the last three years as on 31st March, 2015

|    |                       | Total Disbursed   | Total Disbursed   | Total Disbursed   | Total Disbursed   | Total Disbursed   | Total Outstanding   | Total Outstanding   | Total Outstanding   | Total Outstanding   | Total Outstanding   | Total Outstanding   | Total Outstanding   |
|----|-----------------------|-------------------|-------------------|-------------------|-------------------|-------------------|---------------------|---------------------|---------------------|---------------------|---------------------|---------------------|---------------------|
|    |                       | March, 2013       | March, 2013       | March, 2014       | March, 2014       | March, 2015       | March, 2015         | March, 2013         | March, 2013         | March, 2014         | March, 2014         | March, 2015         | March, 2015         |
|    | Name of the Bank      | No. of A/Cs       | Amt. in Cr.       | No. of A/Cs       | Amt. in Cr.       | No. of A/Cs       | Amt. in Cr.         | No. of A/Cs         | Amt. in Cr.         | No. of A/Cs         | Amt. in Cr.         | No. of A/Cs         | Amt. in Cr.         |
| 1  | Allahabad Bank        | 5161              | 76.24 912         | 11.70             |                   | 3,900             | 35.89               | 47610               | 1261.56             | 49107               | 1346.93             | 49,015              | 1404.61             |
| 2  | Andhra Bank           | 5568              | 140.74            | 7011              | 243.96            | 6,574             | 116.13              | 61543               | 1426.71             | 57965               | 1510.53             | 56,036              | 1820.54             |
| 3  | Bank of Baroda        | 12700             | 368.72            | 11899             | 288.51            | 694               | 1.35                | 88732               | 1971.17             | 89243               | 2062.11             | 87,835              | 209.55              |
| 4  | Bank of India         | 54474             | 486.67            | 53151             | 544.00            | 12,280            | 86.00               | 122839              | 2412.00             | 134540              | 2652                | 1,35,429            | 2917.00             |
| 5  | Bank of Maharashtra   | 5819              | 87.26             | 2039              | 27.80             | 887               | 13.04               | 27218               | 552.96              | 29876               | 637.33              | 1,666               | 27.13               |
| 6  | Canara Bank           | 81118             | 572.51            | 157259            | 1076.00           | 29,105            | 238.50              | 217422              | 4358.45             | 249224              | 4746                | 2,79,340            | 5524.96             |
| 7  | Central Bank of India | 17793             | 307.42            | 17456             | 332.00            | 53,600            | 716.00              | 111771              | 2566.64             | 120103              | 2979                | 1,26,702            | 3443.00             |
| 8  | Corporation Bank      | 25172             | 232.66            | 25875             | 261.23            | 24,826            | 281.75              | 49897               | 1150.25             | 52371               | 1251.78             | 53,254              | 1359.72             |
| 9  | Dena Bank             | 2172              | 30.85             | 3833              | 54.62             | 657               | 12.70               | 15399               | 328.82              | 17235               | 364.28              | 17,540              | 420.41              |
| 10 | IDBI Bank Only        | 3501              | 61.69             | 5585              | 114.09            | 3,294             | 67.79               | 6707                | 171.38              | 9440                | 253.63              | 13,636              | 428.12              |
| 11 | Indian Bank           | 74078             | 469.76            | 61854             | 437.41            | 50,339            | 352.66              | 204691              | 3650.30             | 180954              | 3453.22             | 1,73,748            | 3287.55             |
| 12 | Indian Overseas Bank  | 90229             | 536.59 86668      |                   | 605.1             | 7,052             | 92.70               | 200693              | 2959.08             | 220626              | 3596.8              | 2,31,457            | 3958.31             |

| 13   | OBC                   |   18454 | 254.9      |     16263 | 245.84   | 14,359   | 254.84     |            48449 |   1227.04 | 48085   |   1270.79 | 47,292    |   1314.47 |
|------|-----------------------|---------|------------|-----------|----------|----------|------------|------------------|-----------|---------|-----------|-----------|-----------|
| 14   | Punjab & Sind Bank    |    1422 | 35.79 1285 |     40.61 |          | 1,236    | 49.75 7000 |    219.1         |   7112    |         |    229.51 | 6,717     |    240.34 |
| 15   | Punjab National Bank  |   64508 | 693.83     |  55706    | 649.37   | 12,180   | 118.11     | 155879           |   3588.18 | 157813  |   4257.95 | 1,58,755  |   4397.3  |
| 16   | Syndicate Bank        |   22367 | 404.16     |  17055    | 316.73   | 34,867   | 163.31     | 113138           |   2555.62 | 116541  |   2768.24 | 1,14,632  |   2745.28 |
| 17   | UCO Bank              |    6632 | 190.79     |  13629    | 206.54   | 4,102    | 35.53      |  50571           |   1140.88 | 54303   |   1262.18 | 55,496    |   1318.73 |
| 18   | Union Bank of India   |   61075 | 445.44     |  56980    | 447.78   | 13,624   | 141.23     |  90807           |   2081.12 | 8020    |    315    | 98,811    |   2481.27 |
| 19   | United Bank of India  |    2382 | 93.95      |   9428    | 105.16   | 2,021    | 19.89      |  23285           |    551.81 | 24196   |    530.78 | 20,221    |    488.72 |
| 20   | Vijaya Bank           |   12795 | 129.73     |  16276    | 193.00   | 3,982    | 49.00      |  34385           |    669.94 | 38013   |    760    | 42,297    |    903    |
| 21   | State Bank of India   |   70179 | 1172       |  71281    | 1506.00  | 11,564   | 182.00     | 604339           |  13751    | 593474  |  14740    | 5,68,815  |  15465    |
| 22   | State Bank of B&J     |   12581 | 93.06      |  13130    | 93.55    | 3,456    | 15.94      |  22449           |    500.55 | 22363   |    515.32 | 21,399    |    507.54 |
| 23   | State Bank of Hyd.    |    4582 | 98.88      |   5700    | 399.24   | 5,331    | 179.25     |  51424           |   1117.86 | 50664   |   1185.41 | 49,203    |   1305.89 |
| 24   | State Bank of Mysore  |    3384 | 53.6       |   3856    | 68.03    | 764      | 9.03       |  29882           |    614.26 | 29896   |    628.37 | 29,333    |    656.88 |
| 25   | State Bank of Patiala |    2895 | 64         |   3032    | 75.06    | 378      | 10.06      |  15020           |    404.65 | 15814   |    448.28 | 15,894    |    494    |
| 26   | State Bank of Tr      |   11212 | 240.57     |  49151    | 1556.82  | 35,421   | 211.24     |  55476           |    232.33 | 105125  |   2475.42 | 90,955    |   2275.59 |
|      | Total                 |  672253 | 7341.81    | 766314    | 9900.15  | 3,36,493 | 3453.69    |      2.45663e+06 |  51463.7  | 2482103 |  56240.9  | 25,73,328 |  60070.6  |

Source: IBA

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Annexure-II to reply of Lok Sabha UnStarred Question No. 1585 for answer on 4th March, 2016

## State-wise data on education loan (priority sector) as reported by Scheduled Commercial Banks as on March 31, 2013, 2014 and 2015(Provisional)

No of Accounts in Actual & Amount in Rs thousands

|                   |                     | Mar-13                              | Mar-13                              | Mar-14                              | Mar-14                              | Mar-15                              | Mar-15                              |
|-------------------|---------------------|-------------------------------------|-------------------------------------|-------------------------------------|-------------------------------------|-------------------------------------|-------------------------------------|
| Name of the State | Name of the State   | Educational Loans (Priority Sector) | Educational Loans (Priority Sector) | Educational Loans (Priority Sector) | Educational Loans (Priority Sector) | Educational Loans (Priority Sector) | Educational Loans (Priority Sector) |
|                   |                     | No. of A/cs                         | Amt O/s                             | No. of A/cs                         | Amt O/s                             | No. of A/cs                         | Amt O/s                             |
| 1                 | Andamans            | 568                                 | 136010.51                           | 585                                 | 150365.00                           | 590                                 | 164080.00                           |
| 2                 | Andhra Pradesh      | 197032                              | 46985796.71                         | 190340                              | 49877641.17                         | 170678                              | 54433275.00                         |
| 3                 | Arunachal Pradesh   | 510                                 | 121958.55                           | 589                                 | 136122.00                           | 685                                 | 151519.00                           |
| 4                 | Assam               | 16394                               | 3912026.91                          | 16678                               | 4239656.00                          | 16467                               | 5220966.00                          |
| 5                 | Bihar               | 88982                               | 21070910.85                         | 99620                               | 27253367.00                         | 102426                              | 29495983.00                         |
| 6                 | Chandigarh          | 5181                                | 1604442.99                          | 4873                                | 1600170.00                          | 4633                                | 1667166.00                          |
| 7                 | Chattisgarh         | 16015                               | 3085946.53                          | 16792                               | 3680289.00                          | 18010                               | 4062343.00                          |
| 8                 | Dadra &Nagar Haveli | 313                                 | 57607.35                            | 226                                 | 61029.00                            | 265                                 | 66218.00                            |
| 9                 | Daman &Diu          | 124                                 | 32741.03                            | 127                                 | 32847.00                            | 137                                 | 43248.00                            |
| 10                | Delhi               | 34073                               | 10182924.70                         | 32890                               | 10285291.25                         | 31990                               | 14115528.00                         |
| 11                | Goa                 | 3492                                | 846229.16                           | 3342                                | 909436.00                           | 3211                                | 948670.00                           |
| 12                | Gujarat             | 44055                               | 12717787.94                         | 45937                               | 11826274.36                         | 45911                               | 11606724.00                         |
| 13                | Haryana             | 37254                               | 8393776.77                          | 37531                               | 9503948.21                          | 36401                               | 9538336.00                          |
| 14                | Himachal Pradesh    | 14171                               | 2868456.32                          | 14611                               | 3306500.00                          | 14929                               | 3536688.00                          |
| 15                | Jammu &Kashmir Only | 10838                               | 2235973.73                          | 10935                               | 2412557.00                          | 11306                               | 2483574.00                          |
| 16                | Jharkhand           | 46018                               | 12319822.15                         | 48849                               | 13330954.00                         | 48423                               | 13687832.00                         |
| 17                | Karnataka           | 186623                              | 38745399.07                         | 195169                              | 40625173.00                         | 198709                              | 41595326.00                         |
| 18                | Kerala              | 336212                              | 73539123.54                         | 341427                              | 79755749.52                         | 331663                              | 77885256.00                         |
| 19 Lakshadweep    | 19 Lakshadweep      | 20                                  | 3671.00                             | 29                                  | 6204.00                             | 31                                  | 8149.00                             |

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| 20   | Madhya Pradesh   |   80077 |      15867684.78 |   83230 |      17394010.00 |   81372 |      18134509.00 |
|------|------------------|---------|------------------|---------|------------------|---------|------------------|
| 21   | Maharashtra      |  169491 |      4.07387e+07 |  178587 |      4.13122e+07 |  188673 |      4.53275e+07 |
| 22   | Manipur          |    1393 | 396001           |    1433 | 407439           |    1338 | 373543           |
| 23   | Meghalaya        |    1687 | 397957           |    2021 | 515114           |    2184 | 522561           |
| 24   | Mizoram          |     390 | 105074           |     706 | 239977           |     685 | 206307           |
| 25   | Nagaland         |     399 | 107216           |     417 | 124842           |     444 | 129247           |
| 26   | Orissa           |   69886 |      1.66524e+07 |   68200 |      1.73398e+07 |   65016 |      1.73716e+07 |
| 27   | Puducherry       |   14636 |      2.64424e+06 |   14808 |      2.92182e+06 |   14598 |      2.88412e+06 |
| 28   | Punjab           |   32005 |      8.12676e+06 |   32810 |      9.56263e+06 |   32438 |      1.02141e+07 |
| 29   | Rajasthan        |   58424 |      1.31815e+07 |   59314 |      1.35326e+07 |   57940 |      1.35502e+07 |
| 30   | Sikkim           |     409 | 108319           |     440 | 120267           |     444 | 123049           |
| 31   | Tamil Nadu       |  886752 |      1.33436e+08 |  940990 |      1.50776e+08 |  960202 |      1.63131e+08 |
| 32   | Tripura          |    2280 | 458898           |    2804 | 618274           |    3271 | 761029           |
| 33   | Uttarakhand      |   28401 |      6.65441e+06 |  141095 |      3.57511e+07 |   33811 |      8.78137e+06 |
| 34   | Uttar Pradesh    |  137393 |      3.52106e+07 |   26121 |      6.57345e+06 |  127478 |      3.13067e+07 |
| 35   | West Bengal      |   68547 |      1.44398e+07 |   67834 |      1.54587e+07 |   64957 |      9.83312e+06 |
|      | Sum:             | 2590045 |      5.27387e+08 | 2681360 |      5.71642e+08 | 2671316 |      5.9336e+08  |

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