Educational Institutions


Scheme for Educational Institutions


Scope of Scheme

Educational institutions cover various activities like Schools, Colleges, Professional Institutions & Research and Development Institutions etc.


Finance is extended to only private professional colleges/institutions imparting education in the field of Engineering, Medicines and Business Management.

Constitution/ Eligible borrower

Trust/Corporate Bodies promoted by well qualified experienced persons in the relative field as well as reputed persons in the society provided

a)Borrower should have necessary permission required if any, from competent authorities like Education Department of the respective State.

b)Loans are granted for expansion/ modernization of existing established and reputed institutions.

Quantum of assistance

Upto Rs.10 Crores

Debt Equity Ratio

Long Term Debt Equity Ratio Maximum 3:1

Debt Service Coverage Ratio

1.75 and above

Promoters’ contribution

Not less than 25% of the estimated cost of project

Period of loan

Maximum 5 years inclusive of moratorium period


As per bank’s policy from time to time