**Executive Summary**
This document is the response from the Minister of State (Tribal Affairs) to an unstarred question in Lok Sabha concerning loans under the Adivasi Shiksha Rrinn Yojana (ASRY), answered on January 29, 2026. The response addresses concerns about loan delays/rejections, collateral requirements, awareness dissemination, and skewed loan disbursement. The document clarifies the role of the National Scheduled Tribes Finance and Development Corporation (NSTFDC) in the loan process.
**Key Points / Main Content**
* **NSTFDC's Role:**
* NSTFDC extends concessional loans to eligible Scheduled Tribe persons for income generation/self-employment activities, including education loans under ASRY.
* NSTFDC's schemes are implemented through various implementing agencies across the country.
* NSTFDC receives loan proposals through implementing agencies.
* NSTFDC has not rejected any education loan applications received as per the Corporation's norms.
* **Collateral Requirements:**
* NSTFDC does not seek collateral from students for obtaining education loans.
* Scheme implementation is done through implementing agencies as per prescribed norms.
* **Awareness and Outreach:**
* NSTFDC conducts regular awareness camps in coordination with its implementing agencies to disseminate information about its schemes, including the Education Loan Scheme.
* NSTFDC has not conducted any scheme-specific awareness camps.
* **Loan Disbursement:**
* NSTFDC receives education loan proposals only from a few states.
* NSTFDC engages with state implementing agencies to improve scheme performance in the states.
**Impact Analysis**
**Scheduled Tribe Students/Beneficiaries**
* **Impact:** They are the direct beneficiaries of the ASRY scheme and are affected by its implementation, awareness, and loan disbursement practices.
* **Action Required:** Apply for education loans through implementing agencies and be aware of the scheme details through awareness camps.
**Implementing Agencies**
* **Impact:** They are responsible for implementing the ASRY scheme, receiving loan applications, and coordinating with NSTFDC.
* **Action Required:** Adhere to prescribed norms for scheme implementation, disseminate information about the scheme, and improve performance.
**State Governments/State Implementing Agencies**
* **Impact:** The performance of the ASRY scheme within the state affects state-level outcomes for Scheduled Tribe students.
* **Action Required:** Engage with NSTFDC to improve scheme implementation and increase education loan proposals.
Key Entities Referenced
Adivasi Shiksha Rrinn Yojana (ASRY): A scheme providing educational loans, particularly for Scheduled Tribe individuals.
National Scheduled Tribes Finance and Development Corporation (NSTFDC): A Central Public Sector Enterprise under the Ministry of Tribal Affairs that extends concessional loans, including under ASRY.
MINISTRY OF TRIBAL AFFAIRS: The ministry responsible for the Adivasi Shiksha Rrinn Yojana and NSTFDC.
GOVERNMENT OF INDIA
MINISTRY OF TRIBAL AFFAIRS
LOK SABHA
UNSTARRED QUESTION No. 122
TO BE ANSWERED ON: 29th JANUARY 2026
LOANS UNDER ADIVASI SHIKSHA RRINN YOJANA
122. Shri Asaduddin Owaisi:
Will the Minister of TRIBAL AFFAIRS be pleased to state:
(a) whether the Government is aware that the applications for educational loans under the Adivasi Shiksha Rrinn
Yojana (ASRY) are often delayed or rejected, if so, the reasons therefor;
(b) whether the Government is aware that many beneficiaries are asked for collateral for obtaining educational
loans under the scheme, if so, the details of grievance redressal mechanism in place;
(c) whether the Government is taking steps for effective awareness dissemination under ASRY including
facilitation by educational institutes, if so, the details thereof; and
(d) whether the Government is aware that the loan disbursement under ASRY is skewed across the country which
is disproportionately affecting students in remote areas, if so, the specific steps taken to rectify this imbalance?
ANSWER
MINISTER OF STATE (TRIBAL AFFAIRS)
(SHRI DURGADAS UIKEY)
(a) National Scheduled Tribes Finance and Development Corporation (NSTFDC), a Central Public Sector
Enterprise (CPSE) under the Ministry of Tribal Affairs, extends concessional loans to the eligible Scheduled
Tribe persons for undertaking any income generation activities/ self-employment including education loan under
the Adivasi Shiksha Rrinn Yojana (ASRY). All the schemes of NSTFDC are implemented through various
implementing agencies across the country. The loan proposals are received by NSTFDC through the
implementing agencies. Till date, NSTFDC has not rejected any application of education loan received as per
norms of the Corporation.
(b) As mentioned, the scheme implementation is done through the implementing agencies as per their prescribed
norms. NSTFDC does not seek any collateral from the students for obtaining Education Loan.
(c) NSTFDC conducts regular awareness camps in coordination with its implementing agencies for disseminating
information about its schemes including the Education Loan Scheme. However, the Corporation has not
conducted any scheme-specific awareness camp.
(d) NSTFDC is getting Education Loan proposals only from a few States. From time to time, the Corporation
takes up the matter of scheme implementation with the State Implementing agencies for improving the
performance of the schemes in the States.
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