Government has approved the continuation of Central Sector National Means-cum-Merit Scholarship (NMMSS) over the 15th Finance Commission cycle for a period of five years i.e. from 2021-22 to 2025-26 with financial outlay of Rs. 1827.00 crore with minor modifications in eligibility criteria such as increasing income ceiling from Rs.1.5 lakh per annum to Rs.3.5 lakh per annum and revising the renewal criteria under the scheme.

The objective of the scheme is to award scholarships to meritorious students of economically weaker sections to arrest their drop-out at class VIII and encourage them to continue their education at secondary stage.

One lakh fresh scholarships of Rs.12,000/- per annum (Rs.1000/- per month) per student are awarded to selected students of class IX  every year and their  continuation/renewal in classes X to XII for study in  State Government, Government-aided and Local body schools under the scheme. Students are selected for award of scholarships through an examination conducted by the State/ UT Governments. The scheme is boarded on the National Scholarship Portal (NSP). Scholarships are disbursed directly into the bank accounts of students by electronic transfer through Public Financial Management System (PFMS) following DBT mode. 100% funds under the scheme are provided by Central Government.

This is a continuing scheme and since launch of the scheme in 2008-09, 22.06 lakh scholarships have been sanctioned till 2020-21 involving an expenditure of Rs. 1783.03 crore.

It is proposed to disburse scholarships to 14.76 lakh students with the financial outlay of  Rs.1827.00 crores approved for the scheme.