Union Finance Minister Nirmala Sitharaman on Monday told Parliament that the government has decided to ask the Indian Banks’ Association (IBA) to assess the impact of the conflict in Ukraine on outstanding education loans of the students who were forced to return from that country. The Association will initiate stakeholder consultations in this regard.
As many as 1,319 students had availed of education loans for study in Ukraine with an outstanding balance of ₹121.61 crore, the Minister said in a written reply to Lok Sabha. She was quoting information provided by the IBA from public sector banks and 21 private sector banks as on December 31, 2021.
Ms. Sitharaman was replying to a query from Congress MPs Vijay Vasanth and Ravneet Singh Bittu on whether the government planned to waive these student loans.
“The current situation is fluid and government is closely monitoring developments. Implications of the ongoing conflict can be assessed and remedial steps considered only once the situation has stabilised,” the Minister said.
