Higher education financing agency gets Cabinet nod
The Union Cabinet has cleared the setting up of Higher Education Financing Agency to provide funds up to Rs 20,000 crore for building research-oriented infrastructure at IITs, IIMs and other higher education institutes. Union Human Resource Development Minister Prakash Javadekar recently said that the agency would be jointly promoted by an identified promoter and his ministry with an authorised capital of Rs 2,000 crore of which government equity would be Rs 1,000 crore. The minister stated that HEFA will be formed as a Special Project Vehicle (SPV) with a PSU bank/government-owned Non-bank financial company as promoter and it would leverage the equity to raise up to Rs 20,000 crore for funding infrastructure projects and development of world class laboratories in institutions like IITs, IIMs and NITs etc. The agency would also mobilise corporate social responsibility funds from PSUs and corporates for promoting research and innovation in these institutions on grant basis.