Rising competition to serve a growing market has also pushed non-banking financial companies (NBFCs) to increase the size of foreign-education loans. “There has been a 50-60% increase in [the size of] overall education loans for studying abroad over the last two years. Leverage Edu, which ties up with banks and NBFCs for overseas-study loans, said it disbursed loans of worth ₹30 crore in 2021. But now, these are the ones pushing lenders to increase loan amounts,” said Ankit Mehra, co-founder and chief executive, GyanDhan. In the past five years, NBFCs have almost doubled their market share in the education loan segment.

Source: Mint June 03, 2023 11:00 UTC