NBFC Education Loans in India to Surge by 40-45% Amid Growing Demand for Overseas Studies

The education loan asset under management (AUM) of non-banking financial companies (NBFCs) in India is projected to grow by 40-45% to exceed Rs 60,000 crore in the current fiscal, driven by rising demand for higher education abroad, according to a CRISIL Ratings report. Despite robust growth, only a small fraction of Indian students are funded by NBFCs. However, rising tuition costs, inflation, and limited alternatives suggest substantial growth potential for NBFCs in the education loan sector.