Of this amount – $490m will be allocated to the Education Ministry.
$5.55m will be given to recruit 250 additional teachers – 200 for primary schools, and 50 for secondary schools to improve the student-teacher ratio.
Education Minister, Dr Mahendra Reddy was overwhelmed with the allocation.
Dr Reddy says the level of allocation demonstrates, the level of neglect past governments have made in this sector.
The total allocation for Tertiary Education Loans Scheme is $196.4 million with an increase of $81.1 million compared to last year.
Some other new initiatives will allow students to repeat units and change their programme of study but they can only repeat their unit once.
$18.3 million is allocated to introduce incidental and book allowances for TELS students at $1,000 per annum or at least $500 per semester or $333 per trimester.
Allowances will be paid to TELS students during semester breaks so students enrolled in semester based courses will now receive an allowance of $6,600 per year or $3,000 per semester.
Students under TELS in technical colleges will now receive allowance payments.
The government has also allocated $9.2 million for students who have passed Year 12 and therefore meet the minimum requirements for certain engineering courses at FNU to also access TELS.