An Indian student as she graduates college.


Parents in India spend an average $18,909 towards their child’s education from elementary school up to undergraduate level, much lower than the global average of $44,221, according to a study.


“Parents in India are spending an average of $18,909 (compared with $44,221 worldwide) towards all aspects of their child’s education costs (including school or university tuition fees, educational books, transport and accommodation) from elementary school up to university undergraduate level,” according to HSBC’s ‘The Value of Education’ series “Higher and Higher.”

Of the respondents, parents in Hong Kong spend $1,32,161, followed by the UAE ($99,378) and Singapore ($70,939), contribute the most towards all aspects of their child’s education costs.

The ‘Value of Education’ represents views of 8,481 parents in 15 countries and territories, including Australia, Canada, China, Egypt, France, Hong Kong, India, Indonesia, Malaysia, Mexico, Singapore, Taiwan, UAE, UK and the U.S.

While India is positioned 13th among the 15 countries surveyed, Egypt with $16,863 followed by France with $16,708 are at the bottom of the list.

“In today’s competitive global job market, education is important. Parents appreciate this and are willing to invest time and money to help their children get the best start in life. Their support shows in the personal, lifestyle and financial sacrifices they are making,” HSBC India Head, Retail Banking and Wealth Management, S. Ramakrishnan said.

Further, the study said in India 89% parents are helping to fund their child’s current stage of education.

Over nine in 10 (94%) parents in India are considering post-graduate education for their child, and of these parents 79% expect to contribute towards funding that too, it said.

A proud farmer looks at an iPad as his son hugs him.

The majority of parents in India (87%) think completing a post-graduate degree is important for their child to get into full-time employment in their chosen occupation, fourth highest amongst all surveyed markets, it added.

It also revealed that more than half (59%) of Indian parents are funding their child’s education from their income, while 48% through general savings, investments or insurance and almost a third (30%) are funding through a specific education savings or investment plan.

To help fund their child’s education, many parents in India are making financial sacrifices, including reducing spend on leisure activities (44%), the study said.

Almost a third (32%) have worked extra hours in their existing job for fund their child’s education, second highest amongst all the surveyed markets, it added.