Banks should relax norms of education loans to help economically weaker section students for higher education

Speaking on the occasion of the inauguration of the branch of the Vijaya Bank on the premises of the Rajiv Gandhi College of Veterinary and Animal Sciences at Kurumbapet the Chief Minister N. Rangasamy urged the banks should relax norms for distribution of education loans in order to provide opportunities to the students belonging to the economically weaker sections to pursue higher education.

He said, the banks should adhere to the directives of the Union Finance Ministry not to insist on collateral security to sanction education loans.

The Chief Minister also asked the banks in the Union Territory to assist Self-Help groups (SHGs) to expand. He wanted that the SHG’s should focus their attention on dairy development as there is tremendous scope for growth of the sector.

Mr. Rangasamy said that there is a wide gap in the supply and demand for milk and the SHGs should benefit out of the situation by setting up dairy units.

Executive Director of Vijaya Bank T. Valliappan said the bank should start program to train unemployed youth in Puducherry to take up self-employment ventures. After the training, a written test should be conducted. Successful candidates should be given loans to start these ventures, he said, adding that the program was widely welcomed by the youth in Karnataka.

He informed that by the end of the month, the bank will have 1,000 branches across the country. He said the new branch at the Rajiv Gandhi College of Veterinary and Animal Sciences would have core banking facility.