Lok Sabha Question No. 2006 (UNSTARRED), answered on 2015-07-31
Subject: Educational Loan
Ministry: FINANCE
Asked by: SURESH KODIKUNNIL, NISHIKANT  DUBEY, P. KUMAR, BHAIRON PRASAD MISHRA, ANTO  ANTONY, BOORA NARSAIAH GOUD, GEETHA KOTHAPALLI, RAVNEET SINGH

**GOVERNMENT OF INDIA**

**MINISTRY OF FINANCE**

**DEPARTMENT OF FINANCIAL SERVICES**

**LOK SABHA**

**UNSTARRED QUESTION NO. 2006**

**TO BE ANSWERED ON THE 31** **st** **JULY, 2015, SHRAVANA 9, 1937 (SAKA)**

**EDUCATIONAL LOAN**

**QUESTION**

**2006. SHRI KODIKUNNIL SURESH:**

**SHRI NISHIKANT DUBEY:**

**SHRI P.KUMAR:**

**SHRI BHAIRON PRASAD MISHRA:**

**SHRI ANTO ANTONY:**

**SHRI BOORA NARSAIH GOUD:**

**SHRIMATI KOTHAPALLI GEETHA:**

**SHRI RAVNEET SINGH**

Will the **Minister of FINANCE** be pleased to state:

1. Whether the Government has launched Central Sector Interest Subsidy (CSIS) scheme to provide full interest subsidy during the period of moratorium on education loan taken by the students belonging to the economically weaker sections of the society from scheduled banks under the education loan scheme;
2. If so, the details thereof;
3. The details of education loan applications sanctioned/pending and amount disbursed along with the number of students benefited during the last three years, State  and bank-wise;
4. whether the Government has received any complaints against banks for rejecting applications of meritorious students on the pretext of non-service area, if so, the details thereof along with the action taken thereon; and
5. The steps taken/being taken by the Government to simplify education loan process and make it accessible to the students and redress the grievances of students in this regard?

**ANSWER**

To be answered by

**(MINISTER OF STATE IN THE MINISTRY OF FINANCE)**

**(SHRI  JAYANT SINHA  )**

1. & (b): Yes, Central Sector Interest Subsidy Scheme (CSIS) is administered by the Ministry of HRD. Under the scheme full interest subsidy is available for educational loans disbursed on or after 1 st April, 2009, during the period of moratorium for the students belonging to economically weaker sections i.e. whose parental income from all sources does not exceed Rs 4.50 Lakh per annum. The moratorium period is course period plus one year or six months after getting job, whichever is earlier. Details of students benefitted under CSIS are as under:

| Year      | No. of A/cs   | Amount  (Rs in crore)   |
|-----------|---------------|-------------------------|
| 2009-10   | 644299        | 296.88                  |
| 2010-11   | 898320        | 735.49                  |
| 2011-12   | 983586        | 1198.88                 |
| 2012-13   | 1077505       | 1681.86                 |
| 2013-14   | 911792        | 1540.77                 |
| **Total** | **4515502**   | **5453.88**             |

(c) State-wise data on education loan for the last three years is given at Annexure-I.

The bank-wisedata on outstanding education loan reported and classified as priority sector advances by public sector banks as on last reporting Friday of March 2012 and last day of March 2013 and 2014 are furnished in Annexure-II.

(d) Complaints against banks on rejection of applications of education loan of meritorious students on non-service area grounds, as and when received by the Government, are taken up with banks concerned for corrective action. As informed by Public Sector Banks, during 2014-15, 5251 complaints related to education loans were received, out of which 5163 were disposed off.

(e):  Hon’ble Finance Minister in the budget announcement for 2015-16 has proposed to set up a fully IT based Student Financial Aid Authority to administer and monitor  Scholarship as well as Educational Loan Schemes, through the Pradhan MantriVidya Lakshmi Karyakram.

The banks have also been advised to keep in view primarily the larger public/societal interest involved while giving education loan.  Also, while providing education loans, banks should primarily keep in mind the standing and stature of the institution.

List of all ‘A’ rated universities, colleges and technical institutions has been forwarded to IBA for onwards circulation to all Banks so that students getting admissions in these institutions could get educational loans with minimal formalities.

* *** ****

| Annexure I to reply of Lok Sabha Unstarred Question No. 2006 for answer on 31.07.2015                                                                     | Annexure I to reply of Lok Sabha Unstarred Question No. 2006 for answer on 31.07.2015   | Annexure I to reply of Lok Sabha Unstarred Question No. 2006 for answer on 31.07.2015   | Annexure I to reply of Lok Sabha Unstarred Question No. 2006 for answer on 31.07.2015   | Annexure I to reply of Lok Sabha Unstarred Question No. 2006 for answer on 31.07.2015   | Annexure I to reply of Lok Sabha Unstarred Question No. 2006 for answer on 31.07.2015   | Annexure I to reply of Lok Sabha Unstarred Question No. 2006 for answer on 31.07.2015   | Annexure I to reply of Lok Sabha Unstarred Question No. 2006 for answer on 31.07.2015   |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------|
| **State-wise data on education loan (priority sector) as  reported by Scheduled Commercial Banks as on March 31, 2012 and March 31,2013 , March 31,2014** |                                                                                         |                                                                                         |                                                                                         |                                                                                         |                                                                                         |                                                                                         |                                                                                         |
|                                                                                                                                                           |                                                                                         |                                                                                         |                                                                                         |                                                                                         |                                                                                         |                                                                                         |                                                                                         |
| *No of Accounts in Actual & Amount in Rs thousands*                                                                                                   |                                                                                         |                                                                                         |                                                                                         |                                                                                         |                                                                                         |                                                                                         |                                                                                         |
| **Name of the State**                                                                                                                                     |                                                                                         | **Mar-12**                                                                              |                                                                                         | **Mar-13**                                                                              |                                                                                         | **Mar-14**                                                                              |                                                                                         |
|                                                                                                                                                           |                                                                                         | **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                                                                                | 941                                                                                     | 3,31,686                                                                                | 568                                                                                     | 136010.51                                                                               | 585                                                                                     | 150365                                                                                  |
| 2                                                                                                                                                         | Andhra Pradesh                                                                          | 2,15,797                                                                                | 505,85,588                                                                              | 197032                                                                                  | 46985796.71                                                                             | 190340                                                                                  | 49877641.17                                                                             |
| 3                                                                                                                                                         | Arunachal Pradesh                                                                       | 476                                                                                     | 1,05,373                                                                                | 510                                                                                     | 121958.55                                                                               | 589                                                                                     | 136122                                                                                  |
| 4                                                                                                                                                         | Assam                                                                                   | 14,543                                                                                  | 36,50,544                                                                               | 16394                                                                                   | 3912026.91                                                                              | 16678                                                                                   | 4239656                                                                                 |
| 5                                                                                                                                                         | Bihar                                                                                   | 78,788                                                                                  | 180,05,600                                                                              | 88982                                                                                   | 21070910.85                                                                             | 99620                                                                                   | 27253367                                                                                |
| 6                                                                                                                                                         | Chandigarh                                                                              | 6,086                                                                                   | 19,77,111                                                                               | 5181                                                                                    | 1604442.99                                                                              | 4873                                                                                    | 1600170                                                                                 |
| 7                                                                                                                                                         | Chattisgarh                                                                             | 15,122                                                                                  | 31,38,788                                                                               | 16015                                                                                   | 3085946.53                                                                              | 16792                                                                                   | 3680289                                                                                 |
| 8                                                                                                                                                         | Dadra & Nagar Haveli                                                                    | 194                                                                                     | 57,013                                                                                  | 313                                                                                     | 57607.35                                                                                | 226                                                                                     | 61029                                                                                   |
| 9                                                                                                                                                         | Daman & Diu                                                                             | 103                                                                                     | 30,611                                                                                  | 124                                                                                     | 32741.033                                                                               | 127                                                                                     | 32847                                                                                   |
| 10                                                                                                                                                        | Delhi                                                                                   | 38,308                                                                                  | 117,10,892                                                                              | 34073                                                                                   | 10182924.7                                                                              | 32890                                                                                   | 10285291.25                                                                             |
| 11                                                                                                                                                        | Goa                                                                                     | 3,615                                                                                   | 8,99,748                                                                                | 3492                                                                                    | 846229.16                                                                               | 3342                                                                                    | 909436                                                                                  |
| 12                                                                                                                                                        | Gujarat                                                                                 | 44,893                                                                                  | 121,91,651                                                                              | 44055                                                                                   | 12717787.94                                                                             | 45937                                                                                   | 11826274.36                                                                             |
| 13                                                                                                                                                        | Haryana                                                                                 | 36,842                                                                                  | 84,42,843                                                                               | 37254                                                                                   | 8393776.77                                                                              | 37531                                                                                   | 9503948.21                                                                              |
| 14                                                                                                                                                        | Himachal Pradesh                                                                        | 13,839                                                                                  | 28,00,545                                                                               | 14171                                                                                   | 2868456.32                                                                              | 14611                                                                                   | 3306500                                                                                 |
| 15                                                                                                                                                        | Jammu & Kashmir                                                                         | 10,475                                                                                  | 20,66,738                                                                               | 10838                                                                                   | 2235973.726                                                                             | 10935                                                                                   | 2412557                                                                                 |
| 16                                                                                                                                                        | Jharkhand                                                                               | 41,671                                                                                  | 108,91,960                                                                              | 46018                                                                                   | 12319822.15                                                                             | 48849                                                                                   | 13330954                                                                                |
| 17                                                                                                                                                        | Karnataka                                                                               | 1,73,270                                                                                | 351,83,904                                                                              | 186623                                                                                  | 38745399.07                                                                             | 195169                                                                                  | 40625173                                                                                |
| 18                                                                                                                                                        | Kerala                                                                                  | 3,08,097                                                                                | 585,45,822                                                                              | 336212                                                                                  | 73539123.54                                                                             | 341427                                                                                  | 79755749.52                                                                             |
| 19                                                                                                                                                        | Lakshadweep                                                                             | 24                                                                                      | 3,631                                                                                   | 20                                                                                      | 3671                                                                                    | 29                                                                                      | 6204                                                                                    |
| 20                                                                                                                                                        | Madhya Pradesh                                                                          | 76,993                                                                                  | 148,41,460                                                                              | 80077                                                                                   | 15867684.78                                                                             | 83230                                                                                   | 17394010                                                                                |
| 21                                                                                                                                                        | Maharashtra                                                                             | 1,54,927                                                                                | 387,33,524                                                                              | 169491                                                                                  | 40738708.17                                                                             | 178587                                                                                  | 41312171.65                                                                             |
| 22                                                                                                                                                        | Manipur                                                                                 | 1,062                                                                                   | 3,66,903                                                                                | 1393                                                                                    | 396001                                                                                  | 1433                                                                                    | 407439                                                                                  |
| 23                                                                                                                                                        | Meghalaya                                                                               | 1,452                                                                                   | 3,47,215                                                                                | 1687                                                                                    | 397956.52                                                                               | 2021                                                                                    | 515114                                                                                  |
| 24                                                                                                                                                        | Mizoram                                                                                 | 665                                                                                     | 2,39,180                                                                                | 390                                                                                     | 105074                                                                                  | 706                                                                                     | 239977                                                                                  |
| 25                                                                                                                                                        | Nagaland                                                                                | 366                                                                                     | 98,655                                                                                  | 399                                                                                     | 107216.24                                                                               | 417                                                                                     | 124842                                                                                  |
| 26                                                                                                                                                        | Orissa                                                                                  | 67,136                                                                                  | 147,79,425                                                                              | 69886                                                                                   | 16652412.92                                                                             | 68200                                                                                   | 17339788.35                                                                             |
| 27                                                                                                                                                        | Puducherry                                                                              | 12,377                                                                                  | 20,74,467                                                                               | 14636                                                                                   | 2644237.135                                                                             | 14808                                                                                   | 2921818.32                                                                              |
| 28                                                                                                                                                        | Punjab                                                                                  | 32,776                                                                                  | 90,32,115                                                                               | 32005                                                                                   | 8126759.67                                                                              | 32810                                                                                   | 9562626                                                                                 |
| 29                                                                                                                                                        | Rajasthan                                                                               | 54,449                                                                                  | 113,66,055                                                                              | 58424                                                                                   | 13181515.28                                                                             | 59314                                                                                   | 13532612                                                                                |
| 30                                                                                                                                                        | Sikkim                                                                                  | 385                                                                                     | 1,65,860                                                                                | 409                                                                                     | 108318.78                                                                               | 440                                                                                     | 120267                                                                                  |
| 31                                                                                                                                                        | Tamil Nadu                                                                              | 8,22,810                                                                                | 1170,90,265                                                                             | 886752                                                                                  | 133436494.4                                                                             | 940990                                                                                  | 150775929                                                                               |
| 32                                                                                                                                                        | Tripura                                                                                 | 1,580                                                                                   | 3,23,364                                                                                | 2280                                                                                    | 458897.84                                                                               | 2804                                                                                    | 618274                                                                                  |
| 33                                                                                                                                                        | Uttarakhand                                                                             | 24,974                                                                                  | 57,07,014                                                                               | 28401                                                                                   | 6654414.16                                                                              | 141095                                                                                  | 35751143.22                                                                             |
| 34                                                                                                                                                        | Uttar Pradesh                                                                           | 1,37,131                                                                                | 311,30,062                                                                              | 137393                                                                                  | 35210630.65                                                                             | 26121                                                                                   | 6573448                                                                                 |
| 35                                                                                                                                                        | West Bengal                                                                             | 71,957                                                                                  | 152,87,729                                                                              | 68547                                                                                   | 14439815.02                                                                             | 67834                                                                                   | 15458682.91                                                                             |
|                                                                                                                                                           | **Sum:**                                                                                | **24,64,124**                                                                           | **4822,03,341**                                                                         | **2590045**                                                                             | **527386742.3**                                                                         | **2681360**                                                                             | **571641715.9**                                                                         |
| Source RBI                                                                                                                                                | Source RBI                                                                              |                                                                                         |                                                                                         |                                                                                         |                                                                                         |                                                                                         |                                                                                         |

| Annexure II to reply of Lok Sabha Unstarred Question No.  2006 for answer on 31.07.2015                                                                                          | Annexure II to reply of Lok Sabha Unstarred Question No.  2006 for answer on 31.07.2015   | Annexure II to reply of Lok Sabha Unstarred Question No.  2006 for answer on 31.07.2015   | Annexure II to reply of Lok Sabha Unstarred Question No.  2006 for answer on 31.07.2015   | Annexure II to reply of Lok Sabha Unstarred Question No.  2006 for answer on 31.07.2015   | Annexure II to reply of Lok Sabha Unstarred Question No.  2006 for answer on 31.07.2015   | Annexure II to reply of Lok Sabha Unstarred Question No.  2006 for answer on 31.07.2015   |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------|
| **Data  on outstanding credit to education (Priority Sector)as reported by  public sector banks  as on last reporting Friday of March 2012 and last day of March 2013 and 2014** |                                                                                           |                                                                                           |                                                                                           |                                                                                           |                                                                                           |                                                                                           |
|                                                                                                                                                                                  |                                                                                           |                                                                                           |                                                                                           |                                                                                           | No of A/cs in Actual & Amount in Rs thousands                                             | No of A/cs in Actual & Amount in Rs thousands                                             |
| **Name of the bank**                                                                                                                                                             | **2012**                                                                                  |                                                                                           | **2013**                                                                                  |                                                                                           | **2014**                                                                                  |                                                                                           |
|                                                                                                                                                                                  | **Educational Loans (Total Priority Sector)**                                             |                                                                                           | **Educational Loans (Total Priority Sector)**                                             |                                                                                           | **III Educational Loans (Total Priority Sector)**                                         |                                                                                           |
|                                                                                                                                                                                  | **No. of A/cs**                                                                           | **Amt O/s**                                                                               | **No. of A/cs**                                                                           | **Amt O/s**                                                                               |                                                                                           |                                                                                           |
|                                                                                                                                                                                  |                                                                                           |                                                                                           |                                                                                           |                                                                                           | **No. of A/cs**                                                                           | **Amt O/s**                                                                               |
| **State Bank of Bikaner & Jaipur**                                                                                                                                           | 20421                                                                                     | 4054775                                                                                   | 21915                                                                                     | 5608058                                                                                   | 22151                                                                                     | 4941483                                                                                   |
| **State Bank of Hyderabad**                                                                                                                                                      | 52714                                                                                     | 10852080                                                                                  | 50615                                                                                     | 10681897                                                                                  | 47662                                                                                     | 10401428                                                                                  |
| **State Bank of India**                                                                                                                                                          | 557640                                                                                    | 114879925                                                                                 | 586560                                                                                    | 126256396                                                                                 | 579351                                                                                    | 133428504                                                                                 |
| **State Bank of Mysore**                                                                                                                                                         | 29129                                                                                     | 5661473                                                                                   | 29740                                                                                     | 5938900                                                                                   | 28433                                                                                     | 6149877                                                                                   |
| **State Bank of Patiala**                                                                                                                                                        | 14354                                                                                     | 3697991                                                                                   | 14816                                                                                     | 2527030                                                                                   | 15666                                                                                     | 4372124                                                                                   |
| **State Bank of Travancore**                                                                                                                                                     | 109500                                                                                    | 18003914                                                                                  | 109705                                                                                    | 23792729                                                                                  | 104959                                                                                    | 24534803                                                                                  |
| **Sum:**                                                                                                                                                                         | **783758**                                                                                | **157150158**                                                                             | **813351**                                                                                | **174805010**                                                                             | **798222**                                                                                | **183828219**                                                                             |
| **Allahabad Bank**                                                                                                                                                               | 46049                                                                                     | 11636800                                                                                  | 46740                                                                                     | 12415892                                                                                  | 48083                                                                                     | 13347761                                                                                  |
| **Andhra Bank**                                                                                                                                                                  | 67620                                                                                     | 15078103                                                                                  | 60712                                                                                     | 13430640                                                                                  | 57251                                                                                     | 14092370                                                                                  |
| **Bank of Baroda**                                                                                                                                                               | 81627                                                                                     | 17805900                                                                                  | 87602                                                                                     | 19052651                                                                                  | 88353                                                                                     | 19950019                                                                                  |
| **Bank of India**                                                                                                                                                                | 114826                                                                                    | 21738406                                                                                  | 122833                                                                                    | 23293368                                                                                  | 134533                                                                                    | 25974235                                                                                  |
| **Bank of Maharashtra**                                                                                                                                                          | 25384                                                                                     | 4991800                                                                                   | 27121                                                                                     | 5442401                                                                                   | 29746                                                                                     | 6227052                                                                                   |
| **Canara Bank**                                                                                                                                                                  | 208943                                                                                    | 39482425                                                                                  | 217406                                                                                    | 42604491                                                                                  | 249915                                                                                    | 46896520                                                                                  |
| **Central Bank of India**                                                                                                                                                        | 97853                                                                                     | 20512900                                                                                  | 109762                                                                                    | 25246800                                                                                  | 123049                                                                                    | 30720682                                                                                  |
| **Corporation Bank**                                                                                                                                                             | 49848                                                                                     | 10494596                                                                                  | 53806                                                                                     | 12125352                                                                                  | 64484                                                                                     | 13225915                                                                                  |
| **Dena Bank**                                                                                                                                                                    | 14714                                                                                     | 2925341                                                                                   | 14821                                                                                     | 2915571                                                                                   | 16512                                                                                     | 3254945                                                                                   |
| **IDBI Bank  Ltd.**                                                                                                                                                              | 5503                                                                                      | 3265057                                                                                   | 6729                                                                                      | 1722740                                                                                   | 9629                                                                                      | 2576745                                                                                   |
| **Indian Bank**                                                                                                                                                                  | 198546                                                                                    | 30658030                                                                                  | 199390                                                                                    | 32593399                                                                                  | 177845                                                                                    | 32751917                                                                                  |
| **Indian Overseas Bank**                                                                                                                                                         | 186401                                                                                    | 24552212                                                                                  | 201245                                                                                    | 28943973                                                                                  | 218944                                                                                    | 35339121                                                                                  |
| **Oriental Bank of Commerce**                                                                                                                                                    | 47910                                                                                     | 11472717                                                                                  | 47968                                                                                     | 11716634                                                                                  | 47500                                                                                     | 12009100                                                                                  |
| **Punjab and Sind Bank**                                                                                                                                                         | 7409                                                                                      | 2265590                                                                                   | 7003                                                                                      | 2190953                                                                                   | 7110                                                                                      | 2317919                                                                                   |
| **Punjab National Bank**                                                                                                                                                         | 148314                                                                                    | 30870562                                                                                  | 151843                                                                                    | 33835353                                                                                  | 157634                                                                                    | 36511463                                                                                  |
| **Syndicate Bank**                                                                                                                                                               | 114375                                                                                    | 22681300                                                                                  | 110916                                                                                    | 23980600                                                                                  | 113955                                                                                    | 26108405                                                                                  |
| **UCO Bank**                                                                                                                                                                     | 48009                                                                                     | 10593469                                                                                  | 55201                                                                                     | 11940229                                                                                  | 58998                                                                                     | 13199146                                                                                  |
| **Union Bank of India**                                                                                                                                                          | 83777                                                                                     | 17315899                                                                                  | 87389                                                                                     | 19063498                                                                                  | 91385                                                                                     | 20384881                                                                                  |
| **United Bank of India**                                                                                                                                                         | 21993                                                                                     | 5305092                                                                                   | 22990                                                                                     | 5239955                                                                                   | 22522                                                                                     | 5124072                                                                                   |
| **Vijaya Bank**                                                                                                                                                                  | 20244                                                                                     | 6478399                                                                                   | 34331                                                                                     | 6709712                                                                                   | 39062                                                                                     | 7276233                                                                                   |
| **Sum:**                                                                                                                                                                         | **1589345**                                                                               | **310124598**                                                                             | **1665808**                                                                               | **334464212**                                                                             | **1756510**                                                                               | **367288501**                                                                             |
| **G. Total**                                                                                                                                                                     | **2373103**                                                                               | **467274756**                                                                             | **2479159**                                                                               | **509269222**                                                                             | **2554732**                                                                               | **551116720**                                                                             |
| Source : RBI                                                                                                                                                                     | Source : RBI                                                                              | Source : RBI                                                                              | Source : RBI                                                                              | Source : RBI                                                                              | Source : RBI                                                                              | Source : RBI                                                                              |