This assignment was carried out for one of the MFIs which received technical support from Opportunity Edufinance. The MFI operated in five Indian states, through 41 branches. The MFI was exploring to offer education loans to its clients for their school going children. Bihar has been chosen as one of the states where the pilot roll-out of education loan project will be carried out. In Bihar, the MFI operated in three districts - Vaishali, Samastipur and Muzaffarpur, with its six branches.The market assessment was been carried out with the following major objectives:
1. To understand needs of potential clients and demand characteristics for school fees financing
2. To suggest product prototypes
3. To suggest suitable underwriting mechanism
The study involved primary primary and secondary research including interviews with 180 parents of school going children and 9 private schools in the operational area of Mitrata.