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An outright fear of using library facilities has been observed among students which can hinder academic productivity among students. Library anxiety poses as a psychological barrier in effective use of library resources. Research suggests us to delve deeper in the library perspectives in order to unearth possible causes of anxiety associated with it. The present study is a descriptive cross-sectional design intended to examine library anxiety among the students' category of library users in Assam's state universities; along with investigation of probable psycho-social reasons for such an anxiety. For the study, a sample size of 160 (Gauhati University = 80 and Dibrugarh University = 80) was selected using the Purposive sampling technique. The Bostick’s Library anxiety scale and a self-constructed questionnaire were administered and simple frequencies, summarized figures and chi-square was applied to achieve the objectives. Results revealed that no significant difference exists in the prevalence of library anxiety among the students on the basis of university affiliations. It was also found that existence of pre-conceived social and exam anxiety, along with difficulties in academic planning and learning were detected as major psycho-social causes for higher levels of anxiety.