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FundMyCampus: Education Loan Platform
Fastest-growing Gulf study destination for Indians

Education Loanfor Saudi Arabia

Written by Deepak Agrawal, Founder & CEO, FundMyCampus · MBA, IIM BangaloreReviewed by Ashmita Agarwal, Director, FundMyCampusUpdated on

Saudi Arabia is fast emerging as a high-value, tax-free study and work destination for Indian students, anchored by world-class research universities like KAUST and a fully-funded scholarship culture. With Vision 2030 opening up the kingdom, here's the complete 2026 education loa…

₹15–35 L

Typical Loan

Free

Counsellor call

From 8.6%*

(if simple interest is paid during the course; 9.6% otherwise)

* From 8.6% with collateral (PNB Udaan standard, if you pay simple interest during the course; 9.6% otherwise) and around 10.5% without collateral. Final rate is set by the lender.

Saudi Arabia: study destination for Indian students

Country Snapshot

Tuition (yr)
₹5–25 L
Living (yr)
₹8–14 L
Visa
Saudi Student Visa (Iqama-linked)
Indian students
~15,000/yr

Why Saudi Arabia

Top reasons Indian students choose Saudi Arabia

World-class universities

13+ approved institutions

Strong career outlook

~15,000 Indian students/yr

Loan-ready

All 12+ FundMyCampus banks lend here

Global network

Clear post-study work pathway

The Complete Guide

Studying in Saudi Arabia

Saudi Arabia has gone from an overlooked option to one of the fastest-growing study destinations for Indian students. And Vision 2030 is the reason. The kingdom is investing heavily in research, technology, healthcare, energy and tourism, opening up both world-class universities and a job market hungry for skilled graduates. For Indian families, the maths is attractive: a Master's typically costs ₹21–39 Lakhs all-in, a fraction of the USA or UK, and the post-study earning environment is tax-free.

01

At the top end sits KAUST (King Abdullah University of Science and Technology), a graduate research university that offers most students a full fellowship, tuition, stipend and housing, making it effectively free and one of the best scholarship opportunities anywhere in the world. Below it, established universities like King Saud, KFUPM, King Abdulaziz and Alfaisal offer quality programs at modest tuition. Indian lenders. SBI, Bank of Baroda, ICICI, Axis and NBFCs like Avanse and Auxilo. Comfortably fund these institutions, often fully unsecured given the small ticket sizes.

02

This guide covers everything an Indian student needs: which lender suits your profile, exact cost breakdowns by program, Saudi student-visa and attestation requirements, recognised universities, sample EMIs and the government schemes you can stack on top. FundMyCampus has helped Indian students structure loans for Gulf destinations efficiently. And for Saudi Arabia, the recurring insight is that smart students treat scholarships (especially KAUST) and a small, well-structured loan as complementary tools, not alternatives.

Cost of Studying in Saudi Arabia

Use these numbers to right-size your loan, under-borrowing forces 18%+ personal loans abroad, over-borrowing wastes interest.

Tuition

Living

Travel

Misc + Books

Average Total Program Cost

₹21–39 L for a 2-year Master's

Typical for Indian Master's students

ProgramTuitionLivingTravelMiscTotal
MS / Masters (2 yrs)₹10–22 L₹8–12 L₹1–2 L₹2–3 L₹21–39 L
MBA (1.5–2 yrs)₹15–30 L₹9–14 L₹1–2 L₹3–4 L₹28–50 L
PhD (3–4 yrs)₹0–8 L (often fully funded at KAUST)₹18–28 L (stipend usually covers this)₹2–3 L₹3–5 L₹5–25 L (with funding, often near-zero net)
Bachelors (4 yrs)₹20–45 L₹18–28 L₹3–4 L₹5–8 L₹46–85 L

Your Journey

How your Saudi Arabia loan flows

From admit to disbursement, what FundMyCampus handles end-to-end.

1

Check eligibility

Free 2-min quiz tells you which banks will approve and at what rate.

2

Submit documents

Upload through our portal. We organise and stress-test before submission.

3

Sanction in days

Most Saudi Arabia loans approved in 5–14 days. We chase the bank for you.

4

Disbursement

Bank wires fees directly to your Saudi Arabia institution. You focus on the move.

Free in 2 minutes

See your eligibility for Saudi Arabia loans

University, loan amount, co-applicant income. We tell you which banks approve you and at what rate.

Best Lenders for Saudi Arabia Loans

Rates span 3–5% across lender categories. PSU banks (SBI, BoB) sit at 8.85–10.50%, cheapest but slowest at 15–25 days. Private banks (ICICI, Axis) run 10.25–13.50% with faster 7–14 day approvals. NBFCs (Avanse, Auxilo, Tata Capital) charge 11–14.5% but are most flexible on profile and quick at 5–8 days. Because Saudi loan tickets are smaller (often ₹15–35 L), the absolute rupee difference between lenders is smaller than for the USA, but choosing a PSU bank over an NBFC on a ₹30 L loan still saves roughly ₹5–7 L over a 10-year tenure.

SBI Global Ed-Vantage logo
SBI Global Ed-Vantage

Interest: 9.15% to 10.15%

For Saudi Arabia: up to ₹1.5 Cr

Study abroad, with collateral: 9.65% (9.15% at SBI's select universities) · Study abroad, without collateral: 9.65% at SBI's select universities, up to ₹50 lakh

Lowest rates for overseas studies. Funds Saudi programs at recognised universities like KAUST, King Saud and KFUPM. 15–25 day processing. Best for cost-conscious families.

Bank of Baroda Vidya logo
Bank of Baroda Vidya

Interest: 8.85% to 10.50%

For Saudi Arabia: up to ₹1.5 Cr

Strong PSU option for Gulf-bound students with good branch network for Iqama-linked documentation. Slightly faster than SBI at Tier-2 city branches.

ICICI Bank Education Loan logo
ICICI Bank Education Loan

Interest: 10.25% to 12.50%

For Saudi Arabia: up to ₹1 Cr unsecured

Fast 7–14 day approval. Comfortable funding established Saudi research universities. Best private-bank choice for late admits.

Axis Bank Education Loan logo
Axis Bank Education Loan

Interest: 10.75% to 13.50%

For Saudi Arabia: up to ₹75 L unsecured

Flexible on co-applicant profile and willing to consider newer Saudi private universities that PSU banks hesitate on.

Avanse Financial logo
Avanse Financial

Interest: 11.00% to 14.00%

For Saudi Arabia: up to ₹75 L unsecured

Most accommodating NBFC for Gulf destinations and non-STEM courses. Approves cases banks decline. Quick 5–8 day turnaround.

Auxilo Finserve logo
Auxilo Finserve

Interest: 11.50% to 14.50%

For Saudi Arabia: up to ₹60 L unsecured

Specialist study-abroad NBFC. Useful for smaller ticket Saudi loans (₹15–25 L) with minimal collateral and digital processing.

PNB Udaan logo
PNB Udaan

Interest: 8.6% (if you pay simple interest during the course; 9.6% otherwise)

Lowest rate with collateral here

PNB Udaan standard, with collateral. Without collateral: rate on request. Rates confirmed by FundMyCampus with PNB.

Interest rates are each lender's standard range. They depend on your university, collateral and co-applicant, not on the country. What changes by country is how much each lender funds and which universities it approves.

Collateral & Unsecured Options

Because Saudi Arabia programs are typically lower-cost than the USA or UK (₹21–39 L for most Masters), many Indian students fund the entire amount unsecured. Public sector banks (SBI, Bank of Baroda) offer collateral-free loans up to ₹50 Lakhs for recognised foreign universities, and well-known Saudi institutions like KAUST, King Saud University, KFUPM and Alfaisal University generally qualify. ICICI extends up to ₹1 Crore unsecured for premier institutions, while NBFCs such as Avanse, Auxilo and Tata Capital fund ₹60–75 Lakhs unsecured at higher rates. For amounts above ₹50 Lakhs, or for newer Saudi private universities not on a lender's approved list, collateral helps, banks accept residential property (LTV 75–85%), fixed deposits (LTV 90%) and LIC policies. A practical tip: KAUST PhD and many Master's students receive a full fellowship (tuition waiver + monthly stipend + housing), so the actual loan needed is often only for travel and a buffer, keeping the ticket small and almost always unsecured.

Visa Essentials

Saudi Student Visa (Iqama-linked)

What you need to prove for your Saudi Arabia visa

Year 1 fees

Tuition Proof

₹8–14

Living Funds

Mandatory

Loan Letter

3 key items

Requirements

Key Requirements

  • 1

    The Saudi student visa is sponsored by the host university, which issues the formal admission and visa-support…

  • 2

    For fully-funded programs (very common at KAUST and for PhD positions), the university's funding/fellowship letter…

  • 3

    Medical examination reports (including a clear medical fitness certificate) and attested educational documents are part…

Top Universities in Saudi Arabia

These are on most lenders' preferred lists, easier approval, higher unsecured limits, lower rates.

UniversityLocationAnnual FeesTier
King Abdullah University of Science and Technology (KAUST)Thuwal₹0 (fully funded fellowships)Premier
King Saud UniversityRiyadh₹6 LPremier
King Fahd University of Petroleum & Minerals (KFUPM)Dhahran₹7 LPremier
King Abdulaziz UniversityJeddah₹6 LTier 1
Alfaisal UniversityRiyadh₹14 LTier 1
Prince Sultan UniversityRiyadh₹12 LTier 1
King Saud bin Abdulaziz University for Health SciencesRiyadh₹9 LTier 1
Imam Abdulrahman Bin Faisal UniversityDammam₹5 LTier 2
Umm Al-Qura UniversityMecca₹5 LTier 2
King Khalid UniversityAbha₹5 LTier 2
Taibah UniversityMedina₹4 LTier 2
Effat UniversityJeddah₹13 LTier 1
Dar Al Hekma UniversityJeddah₹11 LTier 2

Get a Loan for Your Saudi Arabia University

See lender-wise rates, how much you can borrow, and EMI estimates for popular Saudi Arabia universities.

Batterjee Medical College, Saudi ArabiaAlfaisal UniversityBatterjee Medical CollegeEffat UniversityKing Abdulaziz UniversityKing Fahd University of Petroleum and MineralsKing Saud UniversityPrince Sultan UniversityUniversity of Business and Technology Jeddah

After Graduation

Career Outlook in Saudi Arabia

What awaits Indian graduates post-study

Available

Post-study work

Yes

PR pathway

Strong

Salary growth

~15,000/yr

Indian community

Highlights

  • Saudi Arabia does not run a points-based post-study work visa in the style of the UK or Canada.

  • The biggest financial advantage is that Saudi Arabia levies no personal income tax.

  • For an Indian student with a ₹25–35 Lakh education loan, the combination of a tax-free salary plus employer benefits…

Sample EMI Calculations

Typical EMI for a Saudi Arabia loan, 10-year repayment tenure after moratorium.

₹15 L · 10% · 7 yrs

~₹24,900

Monthly EMI

₹20 L · 10% · 10 yrs

~₹26,400

Monthly EMI

₹25 L · 10.5% · 10 yrs

~₹33,700

Monthly EMI

₹30 L · 11% · 10 yrs

~₹41,300

Monthly EMI

₹35 L · 10.5% · 12 yrs

~₹42,800

Monthly EMI

₹20 L · 9% · 12 yrs

~₹22,800

Monthly EMI

Calculate your exact EMI with our education loan EMI calculator (includes moratorium interest)

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Saudi Arabia-Specific Documents

  • 1University admission / offer letter from the Saudi institution
  • 2Tuition fee invoice or fellowship/funding letter (for funded programs like KAUST)
  • 3Medical fitness certificate (mandatory for Saudi student visa)
  • 4Educational documents attested via MEA/Apostille and Saudi Cultural Mission
  • 5Police clearance certificate (PCC) from India
  • 6Valid passport with minimum 6 months validity
  • 7IELTS / TOEFL score (English-medium programs)
  • 8GRE / GMAT scores (required by some graduate programs, e.g. KAUST/Alfaisal)
  • 9Statement of Purpose and Letters of Recommendation (copies as submitted)
  • 10Saudi student visa application and visa-support letter from the university

Government Schemes

For Saudi Arabia studies, the relevant Indian government schemes are: (1) Section 80E tax deduction. Available on interest paid on education loans from all RBI-registered banks and NBFCs, with full deduction for up to 8 years. This applies regardless of destination country. (2) Padho Pardesh, interest subsidy during the moratorium for students from notified minority communities (Muslims, Christians, Sikhs, Buddhists, Parsis, Jains) for postgraduate study abroad, subject to a family income cap (around ₹6 L/year). (3) Dr. Ambedkar Central Sector Interest Subsidy Scheme, interest subsidy during moratorium for SC and OBC students pursuing overseas postgraduate study, subject to income caps (~₹8 L for SC). (4) Several state governments (Tamil Nadu, Kerala, Maharashtra, Andhra Pradesh, Telangana) run their own overseas-education interest-subsidy or scholarship schemes that can be stacked. Separately, many Saudi universities, especially KAUST, offer generous merit fellowships that cover tuition fully plus a stipend, which is often more valuable than any loan subsidy. Always have your FundMyCampus counsellor check eligibility. Combining a fellowship with Section 80E and a state subsidy can reduce your effective borrowing cost dramatically. Note: the Section 80E deduction is available only under the old tax regime.

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Compare Saudi Arabia With Other Study Destinations

Education loan guides for every country Indian students study in

Education Loan for Saudi Arabia FAQs

Common questions Indian students ask about studying in Saudi Arabia on loan

You can borrow up to ₹1.5 Crore for Saudi Arabia, though most students need far less because programs are cheaper than the US or UK, typically ₹21–39 Lakhs for a Master's. SBI Global Ed-Vantage and Bank of Baroda fund up to ₹50 L unsecured for recognised Saudi universities like KAUST, King Saud and KFUPM, and more with collateral. ICICI offers up to ₹1 Cr unsecured for premier institutions. NBFCs like Avanse and Auxilo fund ₹60–75 L unsecured at higher rates. If you secure a KAUST fellowship (full tuition + stipend), you may only need a small ₹3–8 L loan for travel and settling-in.
Largely, yes. The King Abdullah University of Science and Technology (KAUST) offers most admitted Master's and PhD students a comprehensive fellowship that covers full tuition, a monthly living stipend, on-campus housing and medical insurance. For these students, an education loan is often needed only for the flight, visa and document costs, and an initial buffer, a ticket of ₹3–8 L, easily unsecured. KAUST admission is competitive and research-focused (strong GRE/academics help), so treat it as a scholarship play rather than a loan-funded program. Other Saudi universities charge tuition and would need a regular education loan.
Yes. And it's common, because Saudi loan tickets are usually small. SBI and Bank of Baroda offer up to ₹50 L unsecured for recognised Saudi universities. ICICI up to ₹1 Cr unsecured for premier institutions. And NBFCs (Avanse, Auxilo, Tata Capital) ₹60–75 L unsecured. For a typical ₹20–35 L Saudi Master's loan, most students at established universities qualify fully unsecured. Collateral mainly comes into play for newer private Saudi universities not on a lender's approved list, or for higher amounts. Your university's recognition on the lender's list is the single biggest factor.
No, Saudi Arabia levies no personal income tax on salaries. Whatever your employer pays, you keep in full. This is a major financial advantage for loan repayment: a graduate earning SAR 12,000–15,000/month (roughly ₹2.7–3.4 L/month) keeps the entire amount, and employers often add housing, transport and annual India flights on top. For an Indian student with a ₹25–35 L loan, a tax-free salary plus benefits means the loan can typically be cleared within 3–4 years through disciplined prepayment.
The Saudi student visa is sponsored by your host university, which issues the admission and visa-support documents. For self-funded programs you should be ready with: (1) a loan sanction letter on bank letterhead stating the amount and that funds are available. (2) co-applicant bank statements for 3–6 months. (3) co-applicant ITRs for 2 years. And (4) the university offer letter and fee invoice. For fully-funded programs like KAUST, the fellowship letter is itself the proof of support. Note that medical fitness certificates and MEA/Apostille-attested education documents are mandatory parts of the Saudi visa file.
From application to disbursement is typically 3–6 weeks: 1 week for document collection. 7–25 days for bank processing (5–8 for NBFCs, 7–14 for private banks, 15–25 for PSU banks). 1–2 days for the sanction letter. 3–5 days for agreement signing. And 2–5 working days for disbursement to the Saudi university via SWIFT/wire transfer. For Saudi-bound students the bigger timeline risk is document attestation (MEA/Apostille + Saudi Cultural Mission), so start both the loan and attestation processes at least 2.5–3 months before your intended travel date.
Lenders are most comfortable funding STEM, engineering, petroleum and energy, computer science, healthcare and management programs at established universities. KAUST, KFUPM, King Saud, King Abdulaziz and Alfaisal are well-recognised. These align with Saudi Arabia's Vision 2030 growth sectors and have strong employment outcomes, which lenders factor in. Newer private universities and niche programs may require collateral or be funded only by flexible NBFCs like Avanse and Auxilo. Always confirm your specific university and course is on the lender's approved list before applying.
Yes. Your co-applicant (usually a parent) is jointly liable, so the loan appears on their credit report and affects their CIBIL score. Timely EMIs over the tenure build their credit history positively. Late payments or default damage it. The outstanding loan also counts in their debt-to-income ratio, which can affect their ability to take other loans until you start repaying. The good news with Saudi loans is that the smaller ticket size and tax-free Saudi salaries make it easy to start regular EMIs and even prepay quickly, minimising the long-term impact on your co-applicant's credit.
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