As the 2026-2027 school year approaches, rising education costs are straining family budgets. Lacking sufficient resources, parents are turning to loans to finance enrollments, tuition fees, and school supplies.

School supplies flood the market. Outside a bank where she was collecting a money transfer from abroad, a mother waited nearly an hour yesterday. The sum was loaned to her by a relative living in France. "We borrowed money because we couldn't gather the necessary funds to enroll our children this year. Registration fees, September tuition, and school supplies have all increased. For our two children, we need to find 700,000 ariary, which far exceeds our means," testifies Joany Famenosoa, a parent.

Days before school starts, some students remain unenrolled. "Enrollments at our school should normally be complete by now. But there are parents asking for time to pay fees," says a private school administrator. Some institutions have implemented payment plans, allowing registration fees to be paid in installments. "But even with this support measure, some parents haven't yet paid enrollment fees," the source continues.

These difficulties occur amid rising cost of living. "With constantly increasing living costs and stagnant salaries, our income no longer covers essential needs, including education," explains Valisoa R., an employee at a private company.

High demand. Facing these needs, some banks offer loans for school year financing. "Several clients come specifically to take out education loans," indicates a banking source, without specifying the number of applications. According to another banking source, interest rates are "generally around 2%, repayable over six months."

For affected families, education remains a priority expense. "Education is our children's only chance to escape poverty," believes Kennedy Ramambason, a father who himself took out a loan.

Borrowing carries additional risks for households already under budget strain. An economist urges parents to assess their repayment capacity before borrowing. He warns that accumulating financial charges could worsen their difficulties in coming months. He also emphasizes the need to control inflation to prevent further deterioration of purchasing power during loan repayment periods.