Each day, approximately 2000 young individuals from Nepal depart the country, driven by the pursuit of employment opportunities or the aspiration for a brighter future overseas. Compared to previous years, Nepal is witnessing an emerging trend of young students going abroad for better educational opportunities and career prospects. If we ask 10 +2 graduates about their further plans, most of them would probably say they have planned to go abroad.
From January to July 2023, the Ministry of Education in Kathmandu approved a staggering over 100,000 No Objection Certificates (NOC) for Nepali students to study in European countries, including Australia, Canada, UK, Japan, and the US (source). This figure is more than double the number of NOCs approved in the previous year, indicating a kind of trend in Nepali students seeking educational opportunities abroad.
Over the recent years, the government has injected a substantial Rs 1.4 trillion into the education sector of Nepal. However, it has struggled to retain and nurture students within the domestic educational system. The trend of Nepalese students going abroad for higher education keeps increasing year after year. In comparison to previous years, Nepalese students have spent as much as Rs 67.70 billion for education abroad this fiscal year as per data.
|Fiscal Year||Total Investments||Number of people going abroad for studies with NOC|
|2075/76||1 trillion 34 billion||63,259|
|2076/77||1 trillion 63 billion||34,094|
|2077/78||1 trillion 71 billion||27,978|
|2078/79||1 trillion 80 billion||117,563|
|2079/80||1 trillion 96 billion||110,297|
(Source: myrepublica website)
Studying abroad can be costly compared to domestic education, and many countries rely on bank loans rather than parental assets for education loans. Moreover, education loans would be a prudent option for students to finance their education independently. It plays a crucial role in simplifying the process of studying abroad by covering the overall cost of education, including tuition fees, accommodation and travel expenses. Moreover it helps to bridge the gap between students and educational aspirations and facilitate an increasing representation of Nepalese students abroad.
For those students who need funds for higher education, an education loan would be best. Here are some benefits of education loans:
1. Adequate finance for higher education
2. Repayment Flexibility
3. Provision of Moratorium Period
4. Less Processing Fees with Subsidised Interest Rate
5. Easy Repayment Module with EMI
General list of documents that needs to be prepared while processing an education loan is enlisted as below. However, there can be few changes in document requirement in case to case basis and as per Bank's due diligence.
Collateral Related Documents
If you also wish to apply for an education loan to study abroad, and are confused about which is the best Bank option available in Nepal for an education loan then contact Saral Banking Sewa.
Saral Banking Sewa will make it easy for you to understand, compare & choose best educational loans of various banks. We have provided detailed information on our website about educational loans, which will give you a basic idea and help you choose the most suitable bank for you. Also, SBS enables you to make smart financial decisions with Side-by-side comparison, and guidance through chat, calls, and emails.
Telephone No.: 01-5269107
If you found this Blog helpful, please share this blog with your family members and friends.
If you have any feedback, please feel free to leave a comment in the section below.
Connect with us for Banking updates on
Taking out an education loan is a significant financial decision, and it's essen...
Education loans can be taken by students to finance education at various levels,...
An education loan is specifically designed to help students pay for their educat...
Education Loan is the best financial solution for students aspiring to pursue hi...