The Higher Education Department, Government of Odisha, on May 25, 2026, rationalized the pledge money and current account requirements applicable to higher education institutions.
The following has been stated:
The revised norms prescribe that Non-Government Unaided, Self-Financing, and Professional Colleges must maintain pledge money of ₹5 lakh, while Non-Government Aided Colleges, including those receiving Block Grants, are required to maintain ₹1 lakh as pledge money. It also removes the requirement of maintaining a prescribed minimum balance in current accounts, provided institutions retain sufficient funds to meet employee salary obligations for at least two months.
Further, the Institutions that have deposited pledge money or maintained current account balances in excess of the revised limits may withdraw the surplus amount. Such funds must be utilized strictly for approved institutional development purposes, including installation of CCTV and fire safety systems, procurement of furniture, strengthening of laboratory and library facilities, renovation and upgradation of academic infrastructure, and other student-related facilities. Prior approval from the Regional Director of Education (RDE) is mandatory, along with submission of a utilization plan and subsequent utilization certificate.
The notification further provides that institutions operating under temporary or prolonged provisional recognition without fulfilling the requirements for permanent recognition will not be eligible for withdrawal of excess funds. It also mandates installation of CCTV systems as per government standards and stipulates that misuse of withdrawn funds may attract regulatory and legal action, including withdrawal of recognition, recovery of funds, and closure of the institution. The revised provisions have come into force with immediate effect.
