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regular-article-logo Sunday, 13 July 2025

Government drags feet on varsity infra expenses: DU taps student fund and Rs 938 crore loan

The proposal drew objections from several members of the executive council who demanded that the government bear the cost of the infrastructural development of the 100-year-old university

Basant Kumar Mohanty Published 13.07.25, 06:44 AM
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A top decision-making body of Delhi University (DU) on Saturday approved a proposal to spend a major amount from the University Development Fund (UDF), created over decades with tuition fees of students, for building infrastructure amid a decline in government support.

The proposal drew objections from several members of the executive council who demanded that the government bear the cost of the infrastructural development of the 100-year-old university.

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Vice-chancellor Yogesh Singh said at the executive council meeting that the
construction work for 17 projects, such as a health centre building, expansion of the science block, a new computer centre and social centre school buildings, was in progress at an estimated expenditure of 1,900 crore.

According to the proposal, 46.5 crore would be used from the UDF for the construction of new buildings.

The university body also approved another proposal for taking loans of 938.33 crore from the Higher Education Financing Agency (Hefa) for infrastructure projects. The education ministry created the Hefa in 2017 and asked institutions funded by it to take loans from the Hefa to meet their infrastructural needs.

By March 2025, Hefa has disbursed loans of 22,000 crore to nearly 100 public-funded institutions. These institutions will have to pay back the loan, partly or fully.

Executive council member Raj Pal Singh Pawar gave dissenting notes on both issues. He said the proposal to take the Hefa loan and divert money from the UDF will force the university to hike the fees. He demanded that the EC pass a resolution for robust UGC funding for public universities.

DU charges a nominal amount as students’ fees for traditional courses. Over the years, the university has created the UDF of about 1,500 crore.

Rajesh Jha, a faculty member at Rajdhani College, said the UDF is usually spent on small repair activities or other emergencies. “This is for the first time a heavy amount is being withdrawn from the UDF for infrastructure projects,” Jha said.

The UGC has allocated no funds for the capital asset creation in the current fiscal.

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