New Delhi: The Centre has approved Rs 3,019 crore under the Credit Guarantee Fund Scheme benefitting 6.78 lakh students till 2024, Union Education Minister Dharmendra Pradhan said on Monday.

Under the scheme, the central government gives guarantee for education loans availed by students without any collateral security.

"Till December 31, 2024, Rs 3,019 crore has been given under the Credit Guarantee Fund Scheme to 6.78 lakh students," he said in Lok Sabha.

Pradhan said under the PM Vidyalaxmi initiative, the Centre has been providing financial support to meritorious students so that financial constraints do not prevent anyone from pursuing higher studies.

PM Vidyalaxmi is another key initiative stemming out of the National Education Policy, 2020, which had recommended that financial assistance should be made available to meritorious students through various measures in both public and private Higher Education Institutions (HEIs).

Under the PM Vidyalaxmi scheme, any student who gets admission in quality Higher Education Institution (QHEIs) will be eligible to get collateral free, guarantor free loan from banks and financial institutions to cover full amount of tuition fees and other expenses related to the course.