Q. What is the main objective of the PM-Vidyalaxmi scheme, recently approved by Union Cabinet?
Answer: To provide financial aid to meritorious students for quality higher education
Notes: The government approved the PM-Vidyalaxmi scheme with a budget of Rs 3,600 crore for five years from FY 2024-25. It aims to provide financial aid to meritorious students in top higher education institutions (QHEIs). Students with family incomes up to Rs 8 lakh are eligible for 3% interest subvention on loans up to Rs 10 lakh, with no collateral or guarantor required. The scheme aims to benefit over 22 lakh students annually, with a digital loan application process. The scheme complements other education loan initiatives and will be managed through a unified portal, “PM-Vidyalaxmi.”

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