5 Government Education Loan Schemes to Study Abroad in 2025

5 Government Education Loan Schemes to Study Abroad

Edited By Prabhjyot Kaur | Updated on Jan 15, 2025 05:15 PM IST

Candidates aspiring to study abroad 2025 can enjoy the benefits of government education loans offered by the Indian government to support Indian students. An Indian government education loan scheme is financial support provided by the state or central government for Indian students with financial constraints. Students must comply with the relevant eligibility criteria and application deadlines to apply for government loan schemes. Generally, students prefer taking a government education loan scheme in 2025 instead of private financial aid because of a lower rate of interest and better repayment terms.

5 Government Education Loan Schemes to Study Abroad

Central government educational schemes to study abroad 2025 are offered for meritorious students seeking higher education abroad across the country. On the other hand, state government education schemes for study abroad students in 2025 are generally offered to support students from that particular state with some exceptions. We have mentioned the top 5 popular government education loan schemes 2025 for Indian students for study abroad including the eligibility requirements, benefits, and application deadlines. Give this article a read to deeply understand these 5 top study loan schemes offering financial assistance for higher education abroad in 2025, offering help to economically weaker section students. Also, check the official website of these government loans to know the application process.

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Top 5 Government Education Loans for Study Abroad 2025

One of the best ways to pursue higher education abroad for economically weaker students in 2025 without worrying about finances is by using government education loan schemes. Many government study loans ranging from central government schemes to state government programs offer qualified Indian students a chance to study abroad without financial burden.

Generally, the 5 popular govt schemes to study abroad 2025 mentioned below cover the university’s tuition fees, living expenses in the foreign country, airfare, and others. Also, the repayment terms and the interest rates of these loans are particularly better as compared to private funding schemes. Here are the popular 5 government loan schemes for Indian students planning higher studies abroad in 2025:

Government Education Loan Scheme for Abroad Studies

Dr Ambedkar Central Sector Scheme
Vidya Lakshmi Portal Education Loan
Padho Pardesh Scheme
Education Loan Scheme of the NBCFDC
Gujarat Government Education Loan for Studying Abroad

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In the headings below, we have mentioned the eligibility requirements, application deadlines, benefits, interest rates, and repayment rates of these top 5 government education loan schemes for Indian students.

Dr Ambedkar Central Sector Scheme

The Government of India offers this abroad education loan for academically qualified students of the minority communities in India. The Dr Ambedkar government education loan scheme to study abroad 2025 covers a subsidy of up to 100%. Here are the details of this loan scheme:

Dr Ambedkar Central Sector Loan Scheme to Study Abroad

Particulars	Details
Type of Scheme	Central Government Loan for Abroad Study
Govt Loan Eligibility Requirements	Must have caste certificates. The overall family income must not be more than Rs 3 lakhs per annum. Candidate must hold an acceptance letter from a foreign university They should also have a score of 60% in 12th grade board exam.
Eligible Courses for this loan	PG and Doctoral
Loan Amount Available	Not Defined
Dr Ambedkar Central Sector Scheme Official Website	https://socialjustice.gov.in/schemes/11

Vidya Lakshmi Portal Education Loan

It is one of the most popular higher education government loans to study abroad for Indian students by the Indian government that is offered for all UG, PG, and PhD courses abroad. The interest rate for Vidya Lakshmi Portal Education Loan to study abroad starts at just 8.40%.

Vidya Lakshmi Portal Education Government Loan for Studying Abroad:

Particulars	Details
Type of Scheme	Government Loan for Study Abroad
Govt Loan Eligibility Requirements	Applicants must be an Indian citizen They must have proof of acceptance to a university abroad They must have passed 12th from a recognised board such as CBSE, ISCE, etc.
Loan Amount Available	Up to Rs 30 Lakhs
Vidya Lakshmi Portal Education Loan Official Website	https://www.vidyalakshmi.co.in/Students/index

Education Loan Scheme of the NBCFDC

The Education Loan Scheme of the NBCFDC is one of the sought-after government higher education loan schemes for abroad studies offering financial assistance to students from backward classes. The govt loan scheme for higher education abroad covers all Professional, technical, and vocational education courses for students with a family income of less than Rs 3 lakhs per annum. The Education Loan Scheme of the NBCFDC interest rate is as low as 4%.

Government Education Loan Scheme of the NBCFDC

Particulars	Details
Type of Scheme	Government Loan for Study Abroad by Government Organisation
Govt Loan Eligibility Requirements	Applicant must belong to a backward class in India They must have cleared the entrance exam test required to get admission in the Indian or foreign university The family income of the candidate must be lower than Rs 3 lakhs per annum. They must have scored at least 70% in 12th grade.
Loan Amount Available	Up to Rs 20 Lakhs
Education Loan Scheme of the NBCFDC Official Website	https://www.nbcfdc.gov.in/

Gujarat Government Education Loan for Studying Abroad

Meritorious students residing in Gujarat can explore this government higher education loan to study abroad in 2025 as it offers 100% subsidy on the interest of the loan amount. This Gujarat Government Education Loan eligibility requires students to be economically weaker with a willingness to pursue education abroad. The interest rate of Gujarat Government Education Loan for Studying Abroad is just 4% for the loan amount up to Rs 15 lakhs.

Gujarat Government Loan Scheme for Studying Abroad

Particulars	Details
Type of Scheme	State Government Loan to Study Abroad
Govt Loan Eligibility Requirements	Candidate must reside in Gujrat They must have scores at least 60% score in 12th grade. The overall family income must not be above Rs 6 lakh per annum They must hold an acceptance letter from a university abroad.
Loan Amount Available	Up to Rs 15 Lakhs
Gujarat Government Education Loan Official Website	https://kcg.gujarat.gov.in/

Padho Pardesh Scheme

This scheme is discontinued in the academic year ending 2023 due to limited benefits. However, it is one of the most popular government schemes for Indian students. Here are details for this Indian government education loan for Indian students looking to study abroad.

Padho Pardesh Government Loan Scheme for Abroad Studies

Particulars	Details
Type of Scheme	Government Education Loan for Abroad by Canara Bank
Govt Loan Eligibility Requirements	Applicants must have passed 12th grade with at least 60% scores. The loan amount is available only for 1st academic year. The annual income must be less than Rs 3.3 lakhs. Applicants must have an acceptance letter from a foreign university.
Loan Amount Available	Up to Rs 20 Lakhs
Padho Pardesh Scheme Official Website	https://canarabankcsis.in/Padho_STD_Portal/login.aspx

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Frequently Asked Questions (FAQs)

1. What is the PM student loan scheme for 2025?

For the academic year 2025, a central sector scheme or the PM student loan scheme supports meritorious students with financial constraints in pursuing education abroad.

2. Is there any government scheme for studying abroad?

There are several government education loan schemes to study abroad for Indian students. Some of the popular loan schemes by the Indian government include the Vidya Lakshmi Portal Education Loan, the Dr Ambedkar Central Sector Scheme, the Gujarat Government Education Loan for Studying Abroad, and many more.

3. Can I get a 100% loan to study abroad?

Yes, students can apply for a 100% loan to study abroad. They can explore the loan schemes offered by private banks and other institutions including NBFCs that cover 100% of the cost of studying abroad.

4. Who is eligible for PM Vidya Lakshmi scheme?

Indian students who have successfully secured admission to any of the top 860 Quality Higher Education Institutions in India as per the latest rankings by National Institutional Framework are eligible for the PM Vidya Lakshmi Scheme.

5. What is the 10 lakh loan from government?

A 10 lakh loan from the government is a scheme launched by the PM named Pradhan Mantri MUDRA Yojana (PMMY). This loan scheme offers loans for up to Rs 10 lakh to non-corporate, non-farm small/micro enterprises in India.