Kuhoo sees rising demand for education loans beyond India’s metros

Kuhoo has released insights from its lending data, highlighting evolving education financing trends in India. The data points to growing demand for structured education loans in emerging markets, increased preference for career-oriented programmes, and a need for financing solutions suited to diverse household income profiles. Between January 2025 and July 2026, Kuhoo received over 2.5 lakh loan applications requesting for education loans worth ₹7.5 thousand crores. By embedding financing directly into the student admission journey, the platform is simplifying the path to higher education across undergraduate, postgraduate, and professional programmes. A striking 86.5% of applications came from Tier 2 and Tier 3 cities, against 13.5% from Tier 1 markets, signalling how educational aspiration is now firmly taking root beyond metropolitan India. Uttar Pradesh (12.87%), Maharashtra (12.52%), Karnataka (7.16%), Bihar (6.91%), Tamil Nadu (6.77%), Andhra Pradesh, Madhya Pradesh, Telangana, West Bengal, and Rajasthan led in volume. The data also underscores a decisive shift toward outcome-driven learning. Job training courses accounted for 41.70% of total disbursals, followed by MBA programmes (29%), online courses (9.80%), engineering (5.50%), and medical education (4.70%), reflecting how learners are increasingly investing in skills with clear career payoffs. Prashant A. Bhonsle, Founder and CEO of Kuhoo, stated, ‘Access to quality education should never be limited by financial constraints. What this data tells us is that ambition is no longer concentrated in the metros; it is rising fastest in India’s smaller cities and towns. As higher education becomes increasingly outcome-driven, students want financing that is transparent, accessible, and aligned with their long-term goals. Our purpose is to ensure deserving students can pursue their academic ambitions with confidence, irrespective of their financial background.’ As India’s higher education landscape becomes more diverse and career-focused, Kuhoo remains committed to bridging the gap between aspiration and access by making education financing simpler, more transparent, and available to students regardless of geography or income profile.