New Delhi-based education financing startup GyanDhan raises Rs 50 crore in funding

GyanDhan, a New Delhi-based education financing startup, has raised Rs 50 crore in fresh funding from edtech firm Classplus and VC firm Pravega Ventures, as it seeks to expand its footprint across India’s tier II and III cities and build a stronger credit infrastructure amid a shifting global education landscape.

The round comes as the study abroad sector is experiencing a temporary slowdown. Currency fluctuations, tightening visa rules in the U.S., U.K., and Canada, and macroeconomic uncertainty have constrained international student mobility.

“The rising cost of higher education—both in India and overseas—is intensifying pressure on middle-class family budgets. Yet, India’s education loan penetration remains under 20%, starkly lower than over 45% in developed markets like the US,” the startup said.

Founded in 2016 by IIT alumni Ankit Mehra and Jainesh Sinha, GyanDhan operates a hybrid model—offering a loan marketplace as well as lending directly through its non-banking finance company (NBFC) arm. Since inception, it has facilitated more than Rs 7,000 crore in education loans for Indian students studying in India and abroad. The startup now plans to more than double that number to Rs 18,000 crore in originations over the next three years.

GyanDhan plans to use the raised capital to scale distribution through local consultants and deepen its technology stack, which underpins the company’s SaaS platform and student-financing workflows. It will focus on expanding regional team and growing its community engagement efforts, including student seminars and financial literacy programs.

The startup currently partners with 15 banks and NBFCs and aims to double that number to 30. Its physical presence, now in 30 cities, will expand to more than 50 in the coming year.

Ankit Mehra, cofounder and CEO of GyanDhan, said, “With this backing, we’re doubling down on building the infrastructure and technology that will unlock educational opportunities for millions of families across India.”

Classplus cofounder and CEO Mukul Rustagi, who joined the cap table with this round, called education financing “a tough but massive TAM,” noting the resilience of the GyanDhan team. Pravega Ventures, which led the round alongside Classplus, emphasized the startup’s alignment of fintech and social impact. 

The startup is also exploring adjacent growth avenues including financing for upskilling, executive education, and alternate credentialing, as demand rises for flexible education pathways in India’s rapidly evolving job market.