CM urges the Centre to reduce interest rate on education loan

Thiruvananthapuram, Sept 12 (UNI) Kerala Chief Minister V S Achuthanandan today urged the Centre to take immediate steps to reduce the maximum interest rate on education loans.

In a letter to Union Finance Minister P Chidambaram, he said this benefit should be made available to those studying in job-oriented courses and those who would get admission in these institutions, particularly to the poor.

The Reserve Bank representative, who attended a high-level bankers conference convened by the State Planning Board recently, had informed that the banks had given freedom to fix the interest rate on education loans, he pointed out.

Mr Achuthanandan said the Reserve Bank had issued all details regarding the Model Education Loan Scheme, constituted with the permission by the Union Finance Ministry, to all banks, a release said here.

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