Budget 2024: FM Announces Educational Loans up to Rs 10 Lakh for Higher Education

Budget 2024: FM Announces Educational Loans up to Rs 10 Lakh for Higher Education

In the 2024 Budget presentation, the Finance Minister (FM) has announced a significant initiative to support higher education for students. A new loan scheme will be introduced to provide financial assistance up to Rs 10 lakh for students pursuing higher education.

Loan Scheme Details

The new loan scheme aims to make higher education more accessible and affordable for students across the country. Key features of the loan scheme include:

  1. Loan Amount: Students can avail loans up to Rs 10 lakh.
  2. Eligibility: The loan is available for students seeking to pursue undergraduate, postgraduate, and professional courses.
  3. Interest Rates: Competitive interest rates will be offered to ensure affordability.
  4. Repayment Terms: Flexible repayment terms will be provided to ease the financial burden on students and their families.

Impact on Higher Education

The introduction of this loan scheme is expected to have a significant impact on the higher education sector:

  1. Increased Enrollment: More students will be able to enroll in higher education institutions.
  2. Financial Relief: Families will experience reduced financial pressure, making it easier to support their children’s education.
  3. Quality of Education: Access to loans can enable students to attend reputed institutions, thereby enhancing the quality of education they receive.

Government’s Commitment

The government’s commitment to education is evident through this initiative, as it aligns with the broader goal of promoting education and skill development. By facilitating access to higher education, the government aims to build a more educated and skilled workforce for the future.

Multiple Choice Questions (MCQs):

1. What is the maximum loan amount announced for students’ higher education in Budget 2024?
a) Rs 5 lakh
b) Rs 7 lakh
c) Rs 10 lakh
d) Rs 12 lakh
Answer: c) Rs 10 lakh

2. Who announced the educational loan scheme in Budget 2024?
a) Prime Minister
b) Finance Minister
c) Education Minister
d) Home Minister
Answer: b) Finance Minister

3. What is the primary objective of the educational loan scheme announced in Budget 2024?
a) To increase government revenue
b) To support students financially for higher education
c) To reduce the number of students in higher education
d) To promote international education
Answer: b) To support students financially for higher education

4. Which of the following is a benefit of the educational loan scheme?
a) Increased tax benefits
b) Promotion of educational equality
c) Reduction of educational institutions
d) Decreased student enrollment
Answer: b) Promotion of educational equality

5. Through which entities will the government implement the educational loan scheme?
a) Private companies
b) Banks and financial institutions
c) Non-Governmental Organizations
d) Educational institutions
Answer: b) Banks and financial institutions