Affordable Private Schools

Recent research shows that basic education in the developing world can be a fee-for-service industry. In this model, families are considered clients rather than the beneficiaries of charity. The local market-based, entrepreneur-led approach puts an emphasis on quality, efficiency, and performance, creating excellence where none has previously existed. All is accomplished at significantly lower costs than public sector schools.

The financing needs of schools, however, tend to fall in between traditional finance clients and typical microfinance loans. Most schools have not found reliable sources of credit to finance their growth. The unmet demand for these institutions is enormous, and the operational models are scaleable and/or replicable with the proper support.

Education is consistently one of the top three expenditures of microfinance clients throughout the world. Parents recognize the power of education to provide an opportunity for their children to improve their lives. Higher levels of education have been correlated with positive social impacts such as improved health, lower birthrates, lower crime and greater social equalities, to name a few.

GMC is exploring different approaches to build and strengthen the infrastructure of affordable private schools in developing countries. We will find creative channels to provide a higher quality education to children who are currently underserved.

Documents	Size
Private Budget Schools in Hyderabad- A Reconnaissance Study by Shruti Joshi.pdf	1.09 MB