HDFC forays into education sector

Updated on: Friday, November 11, 2011

Mortgage lender HDFC Ltd announced a foray into the education sector through a wholly-owned subsidiary which will start schools and address vocational training needs.

"We will start with some baby steps and envisage building an education organisation on the principles of efficiency, effectiveness, integrity and transparency," HDFC Chairman Deepak Parekh said in a statement.

The effort is to enable middle-income households across the country to access quality, yet affordable education spread across nearly every segment over a student's learning life cycle.

HDFC's Managing Director Renu Sud Karnad will oversee the initiative.

HDFC already has a presence in the education space through its dedicated education finance company Credila Financial Services.

HDFC will be setting up flagship schools and also provide school management and other allied services, the statement said, stressing that the effort is to create an impact on school systems across the country.

HDFC Vice-Chairman Keki Mistry said the education space is like the housing sector and said there is an opportunity to treat it "as a long-term investment theme, providing yet another opportunity like housing to fulfil social objective and at the same time to create value for all stakeholders".

To address the employability issue, HDFC will also enter the vocational education and training, offering career enhancement programme to graduates across the country, the statement said.

HDFC forays into education sector

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