IIM-Ahmedabad to hike fee by over 150 per cent

Mumbai: Indian Institute of Management-Ahmedabad (IIM-A) has decided to hike the fee for its flagship post-graduate programme from the current Rs2 lakh per annum to Rs5.50 lakh for the first year and Rs6 lakh for the second year, respectively. The decision was taken after a board meeting at the IIM-A campus today. 

"The board of IIM-A reviewed the cost structure of the two-year post-graduate programme (PGP). After an extensive discussion, the board unanimously decided to charge a fee of Rs5.50 lakh for the first year of the PGP and a fee of Rs6 lakh for the second year of the PGP programme for the batch joining in the June 2008,"  Vijaypat Singhania, chairman, IIM-A Board of Governors & Society, said in a signed statement.

To counter the massive fee hike, IIM-A said it has increased its commitment to students from low income groups. IIM-A has tripled the annual family income limit from Rs2 lakh to Rs6 lakh for a student eligible for financial support, the statement added.

Earlier, this week, the Indian Institute of  Management-Bangalore (IIM-B) hiked its fees from Rs2.5 lakh to Rs4 lakh for the year 2008-09. "We have decided to hike the fee from Rs2.5 lakh to Rs4 lakh for 2008-09," IIMB director Pankaj Chandra told reporters after a meeting of the board presided by its chairman Mukesh D Ambani. The students who would be going into the second year (2009-10) will have to pay Rs5 lakh as fee, he said.

Defending the hike, Chandra said increasing infrastructure was one of the reasons for the hike. He said the amount of scholarship offered has also been enhanced from Rs91 lakh to Rs1.5 crore for 2008-09.