New Delhi: The Ministry of Education has requested the Ministry of Finance to reconsider its decision to disallow borrowing based funding to educational institutions.
Stating that the recent decision to bar funding would badly impact the financial situation of the premier educational institutions including newly formed IITs, IIITs and new AIIMS, the education ministry sought in the request.
Union Education Minister, Ramesh Pokhriyal Nishank wrote to Finance Minister Nirmala Sitharaman and Education Secretary Amit Khare regarding the matter.
The ministry has also requested the Higher Education Finance Agency (HEFA) based funding to be permitted for institutions at least for this financial year, The Economic Times confirmed officials as saying.
HEFA is a non-profit, joint venture company by the Ministry of Education and Canara Bank for mobilising extra-budgetary resources from the market for building crucial infrastructure in central higher education institutions.