Bihar Chief Minister Samrat Choudhary has confirmed that the Student Credit Card Scheme, which offers up to Rs 4 lakh for higher education, will remain in effect. This statement is aimed at alleviating any concerns among students and parents regarding recent reports suggesting a reduction in educational loans under this scheme. Choudhary has publicly clarified that the Bihar government’s dedication to advancing education for its youth remains unwavering.

In a recent post on X, CM Choudhary expressed, “There should be no doubt whatsoever in the minds of students and parents regarding the Student Credit Card Scheme.” He reassured that the facility would continue to exist as it has, emphasising that financial challenges would not hinder students’ educational pursuits. This statement reinforces the government’s commitment to providing necessary resources for education.

Enhancements to Financial Aid for Students

The Bihar government has also taken steps to enhance the financial assistance available to students seeking higher education. According to the Secretary of the Higher Education Department, an education loan of up to Rs 2 lakh can now be facilitated through the Bihar State Education Finance Corporation. Additionally, loans ranging from Rs 2 lakh to Rs 4 lakh will be accessible through scheduled commercial banks.

Previously, students could only obtain the entire loan amount, up to Rs 4 lakh, from the Bihar State Education Finance Corporation. This change opens up new avenues for students to secure financial support from multiple sources, thereby broadening their options for funding higher education.

Furthermore, the government aims to integrate the Bihar Student Credit Card Scheme with the Pradhan Mantri Uchchatar Shiksha Protsahan Yojana and the PM VidyaLakshmi Portal. This collaboration intends to maximise institutional financial assistance for higher education, thereby increasing accessibility for a larger number of students in the state.

Budget Allocations for the Current Financial Year

The Bihar government has outlined significant budget allocations for the Student Credit Card Scheme in its financial planning. An expenditure of Rs 886 crore was approved for the 2025-26 financial year. For the current financial year, 2026-27, the approved amount has increased to Rs 950 crore. This reflects an increase of Rs 64 crore compared to the previous year’s budget, highlighting the government’s focus on enhancing educational support.

This financial backing aims to ensure that the educational aspirations of youth are supported adequately. With the approved budget, the state is positioned to maintain its commitment to facilitate education and alleviate financial barriers that students may encounter.

As part of the ongoing improvements to the educational landscape in Bihar, students can access education loans of up to Rs 10 lakh through the PM VidyaLakshmi Yojana. This further expands the financial assistance framework, providing students with a multitude of options to pursue higher education without the burden of financial constraints.

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