Pakistan has a problem: it is struggling to keep its young people in education, largely because so many families cannot manage the upfront costs of college fees. Enter fintech startup EduFi, which is today announcing the successful completion of a $6.1 million fundraising round. It hopes its innovative approach to student loans could drive up participation rates in higher and further education in the country.
“This is a product that doesn’t currently exist,” says Aleena Nadeem, CEO and founder of the business, which was launched in 2021. “The only alternative until now for families who need to borrow to pay education costs has been expensive commercial loans.”