The study is an attempt to reveal a link between foreign aid and educational projects in the last one and a half decade. This study used nonlinear model by adding square term of foreign aid to capture the nonlinear association with the primary enrolment, secondary enrolment and higher enrolment. Nevertheless the linear model is also estimated and in the all the three models the results are same that foreign aid in the three sectors does not affect enrolment rate. The study concludes that foreign aid could be effective in increasing primary enrolment but not secondary or higher enrolment.