The Indian Banks’ Association (IBA) has been requested by the government to investigate the impact of the Ukraine crisis on outstanding loans taken by students studying in Ukraine who have returned to India.
In this context, the association has been urged to organise consultations.
Thousands of students studying in war-torn Ukraine returned to India between March and April 2022, after Russia invaded the nation on February 24. Their studies were affected due to the conflict’s disruption.
The majority of these students took out loans worth lakhs of rupees to fund their studies in Ukraine, and their main concern now is repaying the bank loans they took out.
According to Finance Ministry sources, 1,319 students have taken out education loans from 21 public and private sector banks.
According to data available through December 31, 2021, the total outstanding debt on college loans is 121 crore.
According to official sources, the current situation in Ukraine is volatile, and events are being actively observed.
They also stated that any decision to forgive these loans will be made after consulting with banks.
Since February 1, 2022, over 22,500 Indian nationals, predominantly students, have successfully returned to India from Ukraine, according to the Ministry of External Affairs.
The bulk of Indian students in Ukraine were pursuing medical degrees.