Faced with budgetary crunch from the central government and an increase of 122% admission fees for the students from the upcoming academic session, IIT Kharagpur has come out with an innovative way to raise funds through a Learn-Earn-Return Fund scheme. Under the new scheme, students will get concession if they promise to pay the money after getting the jobs.
The scheme that became functional from this new academic session will help students to learn without the burden and develop their career to earn and return back the money to their alma mater.
The institute has asked the students to give minimum Rs 10,000 per year after they get jobs. If 30,000 of the alumni give the minimum amount then the institute will raise Rs 30 crore a year. But if the alumni contributes to the institute then the institute would be able to build a new model. Harvard University, for example, generates 60% of its budget from its alumni, informed the director of the institute.
The government has to spend Rs 6 lakh for every student each year, as the higher education in India is expensive. From the upcoming session, the government has increased the annual fees for undergraduate courses from existing Rs 90,000 to Rs 2 lakh which is a 122% rise, the director added further .
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Ministry of Human Resource Development has slashed the budgetary allocation of IITs and asked them to raise funds of their own.
Now IIT-Kharagpur plans to offer scholarships or fee waiver in a graded manner that will be based on economic background and merit of the students. However, the student with exceptional academic records will be given full fee waiver.