Pakistan · Funding your studiesFinancing study abroad from Pakistan
Under SBP rules, banks may remit foreign exchange to a foreign institution on a student’s behalf up to US$70,000 (or equivalent) per student per calendar year, covering application charges, tuition and living expenses. Banks can also release up to US$5,000 in cash for initial living expenses.
Collateral & guarantor: The SBP remittance facility is not a collateral loan — it is a channel to pay your university in foreign currency, funded by your own money. If you borrow, terms and security depend on the individual bank.
Schemes & lenders
SBP forex facility for studies abroad
Up to US$70,000 per student per calendar year remitted to the institution, plus up to US$5,000 cash for initial living costs. The process has been simplified by SBP.
Higher Education Financing Scheme (HEFS)
An SBP-backed scheme providing financing (up to around PKR 300,000) for tuition, books and boarding, including some students at approved international universities.
International no-cosigner lenders
Prodigy Finance and (when open) MPOWER lend to Pakistani students abroad without local collateral, based on the university and future earnings.
Foreign exchange & remittance
Remittances go directly to the university through your bank under the SBP facility, up to US$70,000 per calendar year. Keep your admission letter and fee schedule ready, as banks require them before remitting.
Documents you’ll typically need
- University offer letter and fee schedule
- Passport and student visa
- Bank account and KYC documents
- Proof of funds / income (for the remittance)
- Academic records and test scores
International no-cosigner lenders
Prodigy Finance
Lends to international master's students (MBA, STEM, law, public policy and similar) from 120+ countries without a co-signer, assessing future earning potential and the university/programme rather than a guarantor's income. Can finance up to 100% of the cost of attendance. Students must be admitted to a supported university and programme.
MPOWER Financing
Offers no-cosigner, no-collateral loans to students from 150+ countries studying in the US and Canada, with a lifetime limit around US$100,000. Note: MPOWER paused new lending for 2026 after reaching funding capacity, so check current availability before relying on it.
Frequently asked questions
How much can a Pakistani student send abroad for study?
Banks may remit up to US$70,000 (or equivalent) per student per calendar year to the foreign institution for tuition and living costs, plus up to US$5,000 in cash for initial expenses, under State Bank of Pakistan rules.
Is there a government education loan for studying abroad?
The SBP Higher Education Financing Scheme (HEFS) provides tuition-focused financing (around PKR 300,000) and can cover some students at approved international universities. For larger needs, families typically use the SBP remittance facility with their own funds or a bank loan.
What if I have no collateral?
International lenders such as Prodigy Finance (and MPOWER when open) assess your university and future earnings rather than local collateral.
Plan your funding
Sources: Remittances for Studies Abroad — UBL · Studies Abroad (forex) — Bank of Punjab (PDF)
Last reviewed October 2026. This is general educational information, not financial or lending advice. Loan products, rates, scheme rules and foreign-exchange limits vary by lender and change over time — verify current details with regulated lenders and your bank, and speak to a qualified adviser about your own situation.