LUMS Financial Aid
Admission to all programmes is purely on merit and independent of students’ ability to pay the related tuition fees. Once a student has been admitted to a programme, there are several mechanisms in place to provide financial support based on need and merit. All awards are reassessed each academic year based on performance, need, available resources and prevailing University policies. LUMS is committed to providing as much financial assistance as possible within the limits of its available resources. Nevertheless, the University may not be able to meet all requests for financial assistance, and it is strongly recommended that applicants secure as much of their own funding as possible.
Several Merit and Need-Based Scholarships are available for students who meet specific criteria.
- LUMS Interest - Free Loan
- Merit Scholarship
- Women Scholarship
- MCB- Student Personal Loan
- External Scholarships
LUMS Interest - Free Loan
A degree from a tier-one university is one of the few investments with all-but-guaranteed return. Studying in LUMS not only opens doors in the professional world but also unleashes intellectual and financial potential.
At LUMS, we believe that financial circumstances should never stand in the way. To help, LUMS offers interest free loans to the students from less privileged backgrounds who, without such assistance, would not be able to attend a university.
At MBA level, LUMS Interest Free loan covers partial to full tuition fee expense and are interest free. These awards are reassessed in each academic year based upon performance and demonstrated financial need. The repayment of these interest free loans starts six (6) months after graduation with time period of 3 to 5 years.
Remember – loan is an obligation and is required be repaid back in installments after graduation. Loan repayment not only contribute towards the recirculation of Financial Aid to deserving students but also inculcates social responsibility and ethical values within the students.
Merit Scholarships are a form of gift aid and do not need to be repaid. LUMS provides Merit Scholarship Awards to students who have proven their ability to succeed academically. There is no separate application for the scholarship. Students are automatically considered for the award when they apply for admission to LUMS.
1. 50% tuition waiver to admitted students with a GMAT score of 700 or higher (or GRE equivalent)
2. 50% tuition waiver to admitted top talent based on University merit evaluation. This merit scholarship awards cover partial tuition fee for one year only and are awarded to the top three students in admitted batch based on the LUMS Admission evaluation ranking for the first year.
Merit scholarship awards cover partial tuition fee for one year only and are awarded to the top 3 students from returning batch who are placed on Dean's Honour List based on their academic performance.
Note: In case a student qualifies for both financial aid award and any other scholarship, he/she will receive the higher aid benefit. These awards are for one (1) year only and cannot be carried forward to subsequent years.
LUMS consistently strives to make all its educational programmes accessible to all across the globe, regardless of their ability to pay. Ground-breaking research, internationally competitive faculty, relevant curriculum, strong international linkages and a vibrant, extracurricular life have established LUMS as a centre of excellence in the region.
The aim of Women Scholarship is to foster, celebrate and advance women’s leadership in business. By tapping highly talented young women, we hope to contribute towards building the future of not only their families but also their communities. This scholarship will support female candidates to pursue higher education on merit and will increase the number of women joining the MBA/EMBA Program of the Business School. All female applicants admitted to MBA/EMBA Program will be eligible for 50% tuition fee waiver.
This Scholarship will groom female managers and leaders of business; dramatically changing the managerial landscape of Pakistan. As these women assume leadership roles in organisations across the country, there will be a change in the culture of these organisations.
MCB - Student Personal Loan
The commercial loan facility is pivotal for students who are currently financially unable to afford the cost of tuition and living facilities. This is one of the first ventures of its kind in Pakistan and demonstrates LUMS' commitment towards providing equal educational opportunities to its students.
All loans are subject to the Bank’s internal approvals and MCB Bank reserves the right to approve/disapprove a loan based on its internal assessment. In case a loan is not approved, students will be required to provide the total fees and expenses of the education themselves.
- Pakistani nationals only.
- At least 50% marks (or equivalent) in the last public examination (i.e. other than admission tests, e.g. GMAT, GRE, GAT etc.). The same must be confirmed by LUMS in writing.
- Confirmation of finalised admission by LUMS in writing.
- Maximum 80:20 of admissible educational programme cost (such as admission, registration, tuition, on-campus residence, and any other part / head / item of the fees that is payable in advance by the student to LUMS).
- Any amount that is refundable by LUMS to the student later on is not covered under the student loan programme
Subject to regulatory and internal bank requirements:
- Maximum PKR 1 million.
- In accordance with the schedule of fee payment, the above amount shall be disbursed over a maximum of 4 tranches in a way such that overall aforementioned maximum Debt-Equity Ratio is ensured:
* Each tranche must ensure the aforementioned maximum Debt-Equity Ratio.
* Each tranche disbursement would be subject to Bank’s review as per its requirement.
- Only term loan (i.e. Running finance is NOT allowed).
- Repayment in a maximum of 5 years from the date the loan becomes repayable.
Expected Time Of Study Completion
The expected period of study will be the time during which the loan shall not become repayable. For regular and Executive LUMS MBA programmes, the same shall not be more than 2 years.
Repayment & Due Dates
Monthly repayment will be according to the provided schedule. The loan shall become repayable after around 6 months from the time of completion of study (as intimated by LUMS to MCB Bank). Therefore, first due date shall be January 1. Subsequent due dates shall be Feb 1, Mar 1, Apr 1, so on and so forth. For EMBA students, the loan shall become repayable immediately after graduation.
Mark-Up Rate And Partial/Full Early Payments
- Six-month KIBOR + 2.0%. This rate shall then undergo subsequent resetting on a six-monthly basis in accordance with the change in six-month KIBOR benchmark.
- Mark-up accrual shall begin from the day of first disbursement as per the above rates and shall continue on the outstanding principal till the entire repayment of the loan.
- Mark up accrual during the time of study will be done separately. Once the loan becomes repayable, the accrued mark up will be converted into a non-markup bearing term loan. Tenor of this term loan will be the same as the remaining tenor of the markup-bearing personal / term loan. Installments of both the markup and non-markup bearing term loans will be clubbed together for total installment payable by the student.
- Early prepayment in full is allowed without any settlement charges.
- One time non-refundable processing fee of PKR 5,800/- or as set by the Bank only at the time of processing of the initial application.
- Any applicable taxes / levies shall be recoverable from the customer/student /borrower.
Minimum Guarantees And Securities/Collateral
- Personal guarantee of Parents/Guardian and/or any third party for each loan.
- For each loan, assignment of all future incomes of the student to the Bank to the extent of the former’s liability to the latter.
- In accordance with SBP regulations, loans shall be collateralised through any security /collateral as determined by the Bank for each loan and borrower.
Application form (pertinent to the relevant tranche) duly signed by the student, parents /guardian and/or third party guarantor(s) (as the case may be) and signed and stamped by the concerned LUMS officials.
- CNIC or NICOP Copies of the Student and parent(s) / guardian(s) and/or any third party guarantor(s) as the case may be.
- CF-1 Form / SBP Undertaking.
- One-time activity of opening non-checking collection / repayment account along with irrevocable debit authority against this account.
- Required legal documentation to be signed by the student and parent / guardian and/or any third party guarantor(s) as the case may be and with regards to various collaterals / securities.
- Any other document as per MCB’s requirement.
Other Terms & Conditions
- The student is not allowed to apply for any sort of loan from any financial institution / bank, without seeking prior permission from MCB until the first installment of the MCB Student Loan has been paid.
- Disbursement shall be made directly to LUMS on account of the student.
- If a student gets overseas employment, then his entire remaining personal loan and associated amounts shall become payable immediately to MCB.
- Apart from the above, in cases where the student fails to complete the programme due to any reason, or drops out due to unsatisfactory academic performance or otherwise, or commits an act of moral turpitude or crime, the entire loan and associated amounts will become repayable immediately.
- The entire loan and associated amounts will also become repayable immediately if, at any stage, any mis-representation or concealment of facts comes to the Bank’s knowledge.
- Bank reserves the right to demand immediate payment of all outstanding amounts associated with the student loan at any time it deems appropriate.
- In accordance with applicable laws and regulations, Bank reserves the right to take all measures and explore all options (which may include but may not be limited to litigation) for collection / recovery of all outstanding amounts associated with the loan from the student /borrower / guarantor(s) and any available collaterals / securities in case of non-payment /default and/or any non-fulfillment of contractual obligations by student / borrower /guarantor(s).
Note: The above information is by no means comprehensive and is for the sole purpose of guiding the student / borrower / guarantors and, to the extent allowed under applicable laws and regulations, are subject to change as per MCB’s requirements at the latter’s sole discretion without prior notice to the student / borrower / guarantor(s). Moreover, the relevant loan documentation duly signed by the student / borrower / guarantor(s) and LUMS official(s) as per MCB’s requirement shall constitute as the final terms of reference for the parties involved.
The University has tried its level best to raise funds to ensure that no deserving candidate is turned away from the programme due to insufficient funds. Since inception, external donors have played an immense role in achieving this milestone.
There are a number of named scholarships available for graduate students. LUMS supporters include individuals and organizations from all over the world. These scholarships can potentially help students cover the costs of education and related expenses (i.e. books, accommodation and living). The eligibility depends upon a number of factors, all of which are specified by the donor who offers the scholarships.
In order to be considered for any kind of external scholarships, students are required to apply for financial aid at the time of applying for admission at LUMS.
ADB - JAPAN Scholarship Program
LUMS consistently strives to make its educational programmes accessible to talented students regardless of their ability to pay. We are proud to be the only institute in Pakistan offering the Asian Development Bank-Japan Scholarship Program (ADB-JSP) through which students can benefit from our highly experiential MBA programme.
Under this scholarship scheme, the University in collaboration with ADB-JSP provides ADB’s developing members in Asia and the Pacific to pursue postgraduate studies in management at the Suleman Dawood School of Business.
How To Apply?
The applicant necessarily needs to simultaneously apply to the LUMS MBA programme and ADB-JSP.
What is offered?
Please visit the following link for detailed information: https://www.adb.org/site/careers/japan-scholarship-program/main.
Who Is Eligible?
Please visit the following link for detailed information on scholarship disbursement: https://www.adb.org/site/careers/japan-scholarship-program/main
In order to be eligible for the ADB-JSP scholarship, all applicants must also meet the LUMS MBA admission requirements. For details regarding LUMS MBA Programme, please visit the following link: https://admission.lums.edu.pk/programmes/mba.
In order to be considered for ADB-JSP, students are required to apply for ADB-JSP at the time of applying for admission at LUMS.
- Financial Aid Award is valid for One (1) year only. Continuation of aid in the subsequent year is subject to reassessment.
- Students receiving Financial Aid should maintain a Full-time status in a regular semester. Failure to do so will lead to the cancellation of the Financial Aid Award.
Financial aid will not be provided for the Summer Semester.
Financial Aid Award can be increased, reduced or kept the same at any stage of review during your stay at LUMS
LUMS reserves the right to physically verify the beneficiary's Home/Business premises.
LUMS reserves the right to amend, cancel, or terminate the awarded Financial Aid in case of any misrepresentation or incorrect information provided by the student. Such misrepresentation or concealment of facts may lead to the termination of your admission from the Programme. University also reserves the right to recover the awarded amount during the preceding year(s) from the recipient on an immediate basis.