India EduFin Industry Outlook to FY’2026 – Driven by High Adoption of EdTech sector and Increasing Investments from Venture Capital Firms

India EduFin Industry Outlook to FY’2026 – Driven by High Adoption of EdTech sector and Increasing Investments from Venture Capital Firms

The report titled, “India EduFin Industry Outlook to FY’2026 – Driven by High Adoption of EdTech sector and Increasing Investments from Venture Capital Firms provides a comprehensive analysis of the EdTech & EduFin landscape in the India. The report covers various aspects including the industry size (by loan disbursal value and AUM), industry life cycle, an ecosystem of major players, market sizing analysis, market segmentation by number of loans disbursed, by loan duration, by type of city (Tier 1, Tier 2 and Tier 3), by type of course (K-12, Test Prep, Online Higher Education, Upskill and Reskill), and by payment mode (NBFC, Credit Cards & Nationalized Banks).The report titled, “India EduFin Industry Outlook to FY’2026 – Driven by High Adoption of EdTech sector and Increasing Investments from Venture Capital Firms provides a comprehensive analysis of the EdTech & EduFin landscape in the India. The report covers various aspects including the industry size (by loan disbursal value and AUM), industry life cycle, an ecosystem of major players, market sizing analysis, market segmentation by number of loans disbursed, by loan duration, by type of city (Tier 1, Tier 2 and Tier 3), by type of course (K-12, Test Prep, Online Higher Education, Upskill and Reskill), and by payment mode (NBFC, Credit Cards & Nationalized Banks).

The report also elucidates the customer profiling for the EduFin industry in India. The report adds context to the dynamic nature of the EdTech & EduFin industry by providing trends & developments, challenges faced and the various regulations put in place by the government. Moreover, the report also covers the overall competitive landscape which is based on certain parameters. The report concludes with projection for the future of the industry, Covid-19 impact, analysts’ take on the future, and interviews with key industry leaders and professionals in the space.

India EduFin Industry Overview and Size

India EduFin industry has witnessed an upward trajectory over the past 2-3 years and is expected to grow even bigger. Growth in the demand for EdTech courses owing to the pandemic has provided the boost to the education finance industry. Key factors responsible for growth of the online segment is wider access to internet and smartphones, robust investment flow in the EdTech space and government initiatives to promote online learning in India.

The Covid-19 pandemic has also pushed the market players in focusing towards improving their product features, collaborations with EdTech players, and technology for better unit economics. The government has also been playing an active role in incubating the space for further growth by launching policies & initiatives such as NEP – 2020, DIKSHA, SWAYAM for supporting the digital education in India.

India EduFin Industry Segmentations

By Number of Loan Disbursed: The maximum number of loans have been disbursed in FY’21 to the K-12 classification. The players have proved to have a successful track record in the K-12 Segment (such as Aakash, Byju’s and Allen), which attracts a larger section of the student population to use this resource and thus, take up loans.

By Loan Duration: EdTech courses for a period less than 1 year were mostly preferred as these courses are demanded by students & young professionals who focus on test prep and analytical or upskill and re-skill courses.


By Type of City: With increasing urbanization and deep internet penetration, Tier 2 and 3 cities in India are slowly becoming digitized and open to new forms of educational tools.


By Type of Course: Online higher education has contributed to the highest amount of loan disbursals in FY’2021 owing to a much higher ticket size as compared to other EdTech sectors in India.


By Payment Mode: Most of the loans were disbursed by NBFCs as they cover 100% of the tuition fees, travel expenses, lab fees and exam fees with flexible payment options.


Competitive Landscape of India EduFin Industry:

The competition in the EduFin space in India is moderately fragmented with presence of 25+ players in the industry. The competition parameters include factors such as Major EdTech Partners, Loan Tenure, Segments Catered, Processing Fee, Foreclosure Charges, Technology and Value Added Services. The major players include Bajaj Finserv, Eduvanz, Propelld, Zest Money, Liquiloans & Early Salary. Players in the space differentiate across different EdTech courses, interest fee and product offerings.

India EduFin Industry Future Outlook and Projections

The industry revenue is expected to grow with a double digit CAGR in the next 5 years. The industry is expected to grow on the back of burgeoning investor interest in online EdTech companies, rising internet penetration in Tier-2 and Tier-3 cities and advanced technologies allowing EdTech companies to launch online platforms. Due to the Covid-19 outbreak, there has been an increasing traction towards online EdTech courses, which is expected to ensure substantial growth in the future.

Key Segments Covered


India EdTech Industry:

By Type of Course
K-12 Supplementary Education
Test Preparation
Online Higher Education
Upskilling/Reskilling Courses

India EduFin Industry:

By Number of Loans Disbursed
K-12 Supplementary Education
Test Preparation
Online Higher Education
Upskilling/Reskilling Courses

By Loan Duration
0-6 Months
6-12 Months
12-18 Months
18+ Months

By Type of City

Tier 1
Tier2
Tier3

By Type of Course

K-12 Supplementary Education,
Test Preparation
Online Higher Education
Upskilling/Reskilling Courses

By Payment Mode

NBFC
Credit Cards
Nationalized Banks
EdTech Companies Covered
Byju’s
Toppr
Vedantu
Unacademy
Doubtnut
Adda247
upGrad
Simplilearn
Edureka
Talentedge
Great Learning

EduFin Companies Covered

Eduvanz
Propelld
Bajaj Finserv
Liquiloans
Zest Money
Early Salary
Capital Float
GyanDhan
PaisaDukan.com
LenDenClub
Rupee Circle
Lendbox
i2iFunding
LazyPay
Avanse
Key Target Audience

Ed-Tech Companies

Independent Investors
Venture Capital Firms
Universities
Corporate Training Companies
Government Ministries
Fintech Companies

Time Period Captured in the Report:-

Historical Period – FY’ 2016 - FY’ 2021
Forecast Period – FY’ 2021 - FY’ 2026

Key Topics Covered in the Report

India EduFin Industry Overview
EdTech Industry Market Size FY’2016-21
Customer Cohorts and their Needs
India EdTech players Cross Comparison
Government Initiatives
India EdTech Industry Segmentations
India EduFin Ecosystem - By Type of Companies
India EduFin Market Introduction - Definition
India EduFin Customer Profiling
India EduFin Industry Size
India EduFin Industry Segmentations
Cross-Comparison of Major EdTech Players
Cross-Comparison of Major EduFin Players
SWOT Analysis of India EduFin Industry
Trends & Developments in India EduFin Industry
Relationship Model of EdTech Players
Case Study - Byju's and Capital Float
RBI Regulations - NBFC - Digital Lending
Setting up as an NBFC
NPA regulations and how to protect downside
Future Market Size and Segmentations, FY’2021-2026F
Covid-19 Impact on India EduFin Market
Analyst Recommendations