Nearly 78% affluent Indians want kids to study abroad, but only 53% have investment plans in place: HSBC study

While a whopping 78 percent of affluent Indian parents dream of sending their kids to study abroad, many aren't financially prepared for it. What's even more interesting is that they are often willing to sacrifice their own retirement savings to realise their ambition, according to an HSBC report.

Over two million Indian students are expected to pursue foreign studies by 2025. “As costs continue to rise, funding is the primary concern for parents – the cost of international schooling for a three or four-year degree program in popular overseas study destinations such as the US, UK can use up to 64 percent of Indian parents’ retirement savings,” the ‘Quality of life’ global study, which surveyed 1,456 well-to-do Indians.

Only 53 percent of such well-heeled Indian parents have an education-saving plan in place to finance their children’s overseas studies. Forty percent of respondents expect their child to take on student loans, while 51 percent are hopeful that they will secure scholarships, the report said. However, nearly one-third (27 percent) said that they would even consider selling their assets to fund their child’s education.

“On top of securing the required funding, juggling multiple tasks, such as helping their child select the right course and university and ensuring they meet the admission criteria for the desired university, significantly contribute to the stress levels of Indian parents,” the study noted.