HEFA is aimed at boosting institutional infrastructure
Especially state-of-the-art laboratories, in key institutions such as the Indian Institutes of Technology, the Indian Institutes of Management, and the Indian Institutes of Information Technology
All centrally funded higher educational institutions would be eligible for joining as members of the HEFA
Under the existent financing mechanism of HEFA, an institution can claim for a project 10 times the sum it escrows in the first year
The institution should agree to escrow a specific amount from their internal accruals to HEFA for a period of 10 years
If an institution escrows ₹10-crore, it can get approval for a ₹100-crore project. It has to escrow ₹10-crore each year for 10 years, which will take care of the principal amount
HEFA was approved by the Union Cabinet as a Special Purpose Vehicle with a public sector bank (Canara Bank) in September 2016
HEFA would be jointly promoted by the SPV and the Ministry of Human Resource Development with an authorised capital of ₹2,000 crore, out of which the Government’s equity would be ₹1,000 crore
It would leverage the equity to raise up to ₹20,000 crore for funding projects
