Government of India is planning to set up a corporation for providing financial assistance for higher studies to the needy students.

Human Resource Development Minister of India Kapil Sibal said the country's Planning Commission was considering the proposal and a final decision would be taken soon to help the poor and brilliant students.

Mr Sibal who took charge of the HRD ministry in May last year is keen to encourage private investment in the education sector but higher fees charged by private institutions remain a major concern. Higher fees act as deterrent for many bright students to join the better colleges and they end up serving academically average but richer counterparts later in life.

He said the government would welcome private players if they aim to provide better education to the students from financially weaker section of the society.

Blaming parents for growing suicidal tendencies amongst the students, Mr Sibal said the ever-rising expectations of parents put unbearable pressure on their children, and some students who can not cope up, take the extreme step.