IIM-A alumnus calls education unaffordable, says 'Indian parents spend 60% retirement savings on child's foreign studies'
Studying abroad comes with a hefty price tag, with many families taking out massive loans to fund their children's education overseas. Recently, a startup founder sparked a conversation on LinkedIn, shedding light on just how bleak the situation has become. His blunt statement, "Education is no more affordable," has struck a chord, highlighting the harsh financial realities many face today.
A recent LinkedIn post by Aviral Bhatngar, Founder and Managing Partner of AJVC, a pre-seed fund investing in Indian startups, has raised eyebrows with a startling claim: "Indians are spending more than 60% of their retirement savings on their child's foreign education."
Bhatnagar, who is an alumnus of IIM-Ahmedabad, adds, "50L+ spent is a challenge for affluent Indians, who would make the top 0.5% of the country."
These figures come from HSBC's Global Quality of Life 2024 survey, which reveals that the average annual cost of studying abroad is a hefty USD 62,364 or Rs 52.3 lakh
The survey reveals that many parents are forced to take loans or sell assets to make this dream a reality, leaving retirement plans in jeopardy.
How did people react?
In the comments section, many agreed with Bhatnagar's take, questioning the real value of a foreign degree.?
One user remarked, "And for what? Just a brand on the resume. I mean they can do it if they can afford it, but otherwise its just status seeking. In the end, recruitment soon will depend on skills."
Another highlighted the financial burden in India too, saying, "Come to India man- Here in Bangalore the average tuition fee for LKG is minimum 4L and we are a third world country with third world infrastructure & facilities. If I compare this with your logic, it is equivalent to spending 15L for LKG in foreign countries."
Some saw a bigger picture, with one user suggesting, "Instead of spending 50L+ abroad, shouldn't we focus on improving India's education system to offer the same quality locally?"
One simply lamented, "This is honestly so sad¡ education and knowledge should be free for all."
What's your take on this?
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