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Indian parents spend millions on children’s education: Survey


One of the biggest financial commitments of parents is paying for their child’s education. While the world average spending on children from primary school to university undergraduate levels is about Rs 29 lakh (USD 44,221), Indians alone are spending Rs 12.25 lakh (USD 18,909). Hong Kong spends the highest in the world – Rs 86 lakh (USD 132,161). These are the findings of the HSBC report: Higher and higher, The Value of Education series.

As per the report, most parents in India (89%) fund their child’s education. About 59% fund the education from day-to-day incomes, 48% use money from general savings, investments or insurance, and nearly 30% get the money from education savings or investment plan.

Even though 87% Indians feel postgraduate degrees are necessary for job, only 79% want their wards to do postgraduation. Further, 89% Indian parents are willing to ‘make sacrifices’ for their children’s education.

“In today’s highly competitive global job market, education for young people has never been more important. Parents across the world appreciate this and are willing to invest time and money to help their children get the best start in life. Their unwavering support shows in the personal, lifestyle and financial sacrifices they are making. From forfeiting ‘me time’ to giving up hobbies or reducing leisure activities, parents are going the extra mile to help their child succeed,” said S Ramakrishnan, head – retail banking and wealth management, HSBC India, in a report published in Hindustan Times.

Over 8,400 parents in 15 countries were interviewed for the survey.

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