The Foreign Education Scheme is a flagship initiative by the Social Justice and Empowerment Department, Government of Gujarat, implemented through the Gujarat Unreserved Education and Economical Development Corporation (GUEEDC). This scheme is designed to financially empower meritorious students from economically weaker sections of the unreserved category to pursue higher education abroad by providing education loans up to ₹15 lakhs at a subsidized interest rate of 4%.
Highlights of the Education Loan Scheme in Gujarat
• Scheme Name: Foreign Education Scheme – Gujarat
• Implementing Agency: GUEEDC
• Loan Amount: Up to ₹15,00,000 or actual tuition fees (whichever is lower)
• Interest Rate: 4% simple interest
• Collateral Required: Yes, based on loan amount
• Repayment Period: 5–6 years, post-study grace of 1 year
• Application Mode: Online via GUEEDC official portal
Key Benefits
• Loan Support:
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Covers full tuition fee or up to ₹15 lakhs
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Simple 4% interest rate
• Repayment Terms: -
Loan up to ₹5 lakhs: Repay in 5 years after a 1-year post-study grace
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Loan above ₹5 lakhs: Repay in 6 years after 1-year post-study grace
• Early repayment option available without penalties
• No processing fee for the application
Collateral Requirement
• For loans ≤ ₹7.5 lakhs:
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Property worth 1.5x the loan amount to be registered (self or relative)
• For loans > ₹7.5 lakhs:
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Immovable property equivalent to the total loan amount to be mortgaged (self or relative)
Eligibility Conditions
• Must belong to the Unreserved category (non-reserved caste certificate required)
• Must be a permanent resident of Gujarat
• Must have scored 60% or more in Class 12
• Family’s annual income must not exceed ₹6,00,000
• Must have secured admission to a Bachelor’s, MBBS, Master’s, or PG Diploma course abroad
• Must not have availed any prior foreign education loan from banks or government schemes
• Application date must be before completion of graduation
How to Apply – Online Process
Online Registration Steps
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Visit GUEEDC Official Website
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Go to the “Foreign Education Scheme” section
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Click “Apply Now”, then select “New User? Please Register Here”
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Enter the required details and register using OTP verification
Application Submission Steps
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Log in with User ID and Password
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Read the scheme terms and confirm the address
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Upload required documents and click “Submit”
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Save your Application ID for future tracking
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Optionally, print the application for records
Necessary Documents for Application
• School Leaving Certificate / Jam Certificate
• Aadhaar Card and Ration Card
• Gujarat Residence Certificate
• Unreserved Category Certificate
• Family Income Certificate & IT Return
• Admission Letter from a foreign university (before graduation completion)
• Proof of previous academic records (Mark Sheets, Degree Certificate)
• Passport and Air Ticket copy
• Student’s photograph and signature
• Proof of income (student)
• Annual or full course Fee Receipt
• Collateral documents:
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Property encumbrance certificate (Appendix-1)
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Property valuation and ownership documents
• Surety Bond for loan repayment (Appendix-2)
Frequently Asked Questions (FAQs)
Q: What is the aim of the Foreign Education Scheme?
A: To support economically weaker students of the unreserved category in pursuing higher education abroad through subsidized loans.
Q: Who can apply for the scheme?
A: Students from Gujarat’s unreserved category, scoring 60 %+ in Class 12, with family income under ₹6 lakhs.
Q: What is the maximum loan amount?
A: ₹15,00,000 or actual tuition fee, whichever is less.
Q: What is the interest rate?
A: 4% simple interest.
Q: What is the repayment period?
A: 5 years for loans ≤ ₹5 lakhs, 6 years for loans > ₹5 lakhs (repayment starts 1 year after course completion).
Q: Is early repayment allowed?
A: Yes, early repayment is allowed without penalty.
Q: What collateral is needed?
A: For loans ≤ ₹7.5 lakh – property worth 1.5x loan; for loans > ₹7.5 lakh – property equal to loan amount.
Q: Is a guarantor required?
A: No specific mention of a guarantor; however, surety bond and property documents are mandatory.
Q: How can I apply?
A: Apply online via the GUEEDC portal under the “Foreign Education Scheme” section.
References & Useful Links
• Official GUEEDC Website
• Foreign Education Scheme Guidelines
• [User Manual – Online Application Process]
