ELSGMFDC

The scheme aims to provide financial assistance for technical and non-technical education that creates employment or job opportunities for beneficiaries. Through this scheme, loans are provided to eligible students from minority communities for studies within India and abroad.

The "Educational Loan Scheme" is implemented by the Gujarat Minorities Finance and Development Corporation (GMFDC) under the Social Justice and Empowerment Department, Government of Gujarat. The scheme aims to provide financial assistance in the form of loans for all types of education, including various technical and non-technical courses, that help beneficiaries gain employment or enhance their job prospects. Under this scheme, low-interest loans are offered to eligible students from minority communities to pursue graduate and postgraduate courses in technical, vocational, professional, and medical fields, either in India or abroad.

• The applicant should be a resident of Gujarat.
• The applicant should belong to a minority religious community (Muslim, Christian, Sikh, Jain, Buddhist, Parsi, and Jewish) or a linguistic community (Sindhi, Marathi, Urdu) of Gujarat State.
• The applicant or any family member should not have received a loan from Gujarat Minorities Finance and Development Corporation Limited, Gujarat Backward Class Development Corporation, Gandhinagar, or any other central/state government corporation/institution or bank.
• The annual income of the applicant's family should be:

• ₹98,000/- for rural areas.
• ₹1,20,000/- for urban areas.
• However, families with income exceeding ₹1,20,000/- and up to ₹8,00,000/- are also eligible, albeit with different interest rates

• The applicant's age should be between 16 and 32 years.

• For studies within India, a maximum loan of ₹1,50,000/- per year and up to ₹7,50,000/- for a five-year course can be obtained.
• For medical courses within India, ₹2,50,000/- for 1 year and ₹12,50,000/- for 5 years can be obtained.
• For abroad studies, a maximum loan of ₹3,00,000/- for 1 year and ₹15,00,000/- for 5 years is provided.
• The annual interest rate on this loan is 3%.

Note 1: If the applicant’s annual family income is up to ₹98,000 in rural areas or ₹1,20,000 in urban areas, the loan is provided at a concessional interest rate of 3% per annum.

Note 2: According to the National Corporation's Credit Line-2, for families with an income of ₹1,20,000/- up to ₹8,00,000, the interest rate is 5% for female students and 8% for male students.

Note 3: The loan and interest amount is to be repaid in 60 equal monthly installments within five years from the date of completion of studies or from the date of getting a job, whichever is earlier.

Note 4: Penalty interest at the rate of 2% is payable on delayed payments.