“The true education must correspond to the surrounding circumstances, or it is not a healthy growth.” - Mahatma Gandhi.

We are witnessing a profound transformation in the job market due to Industry 4.0 and other economic factors. Education space should be strengthened to provide the necessary skill set and knowledge to make the youth career-ready to thrive in the changing job market. This Budget 2024-25 has once again introduced effective measures and schemes to empower young individuals considering the ever-changing business dynamics. So, here’s what students must know about Budget 2024-25.

Key Highlights

• What is union budget for education sector 2024-25?
• Interesting insights into the 2024-25 budget for students
  • Budget allocation
  • Skill India Mission
  • Female power
• How can education loans help students thrive?

What is union budget for education sector 2024-25?

The budget is an annual financial statement of projected receipts and expenditures of the Government for the financial year. This Interim Budget 2024-25 was announced on 1st February 2024 and was presented by Finance Minister Nirmala Sitharaman. The education union budget focuses on fortifying 4 pillars of our society - ‘Poor’, ‘Women’, ‘Youth’ and ‘Farmer’. Considering the important role of the education sector, the Government has proposed several measures in addition to the robust National Education Policy (NEP) 2020.
Interesting insights into the 2024-25 budget for students

• Budget allocation

  In perfect alignment with the vision of Viksit Bharat by 2047, the Department of School Education and Literacy budget has been allocated INR 73,498 crore, a 19.56% increase over last year’s budget. The Department of Higher Education has been allocated INR 47619.77 crore, a 7.99% rise over the 2023 budget. For the Institutions of Eminence (IoE), the budget allocated this year is INR 1,800 crore, which was INR 1,500 crore last year. The research and innovation budget rose from last year’s INR 210.61 crore to INR 355 crore. These progressive steps prescribed by the Union budget for education can help upgrade the education space and education delivery system.

• Skill India Mission

  This mission focuses primarily on skilling, reskilling and upskilling through various programs. Under this program, 1.4 crore youth have been trained, and 54 lakh youth have been upskilled and reskilled, which indicates the achievement of an important milestone. Skill India Mission has 20+ central departments offering several courses. Equipped with 3,000 Industrial Training Institutes (ITIs), 7 Indian Institutes of Technology (IITs), 16 Indian Institute of Information Technology (IIITs), 7 Indian Institutes of Management (IIMs), 15 All India Institute of Medical Sciences (AIIMs), and 390 universities, the education sector is ready to deliver excellent learning experience.

  Therefore, a wide range of courses will be available for students, including conventional study programs such as MBA, unconventional courses like Music Production, and other vocational, skilling, upskilling and reskilling programs, further eliminating the skill gap. The skilled youth will be ready to transition from academics to professional careers.

• Female power

  The budget highlighted that female enrolment in higher education has increased by 28% in the last 10 years. Women constitute 43% of the total enrollment in STEM (Science, Technology, Engineering, and Mathematics) courses. With the right skills in these domains, female students can launch their careers in promising domains such as Artificial Intelligence (AI), Machine Learning (ML), Mathematics, Statistics, Physics and Biomedical Engineering.

How can education loans help students thrive?

Whether you want to study in India or abroad, education can be an expensive affair. Therefore, students nowadays prefer student loans to bridge the gap between them and their academic aspirations. You can become Atmanirbhar by opting for a student loan and earn your self-made badge. If you utilise your family savings to fund your education, you can face a potential financial crunch in emergencies. You can set aside the savings for a rainy day by opting for an education loan.

Furthermore, you can build a healthy credit score by responsibly repaying your student loan. This can increase your creditworthiness, assisting you in unlocking many benefits when you opt for other financial products such as car loans, home loans and credit cards.

At Avanse Financial Services, we applaud steps taken by the Government through this education budget 2024, and we aspire to contribute in our own way to support the large student body in gaining knowledge and developing skill sets. In line with our mission to democratise education and education financing in India, we promise to stand by the youth to assist them in accessing quality education, educational infrastructure, and various schemes planned for them to become Atmanirbhar. We offer education loans with multiple benefits, such as 100% financing, quick loan sanctions, and flexible repayment options. To know more about student loans in India, please don’t hesitate to talk to us. All the best!