The California Gold Rush in the 1800s brought with it the promise of the ‘American Dream’ and inordinate riches to many. The reality, however, was that many who came looking failed to find any gold and suffered innumerable hardships.
Nearly 200 years later, the US, and other western nations offer the same promise of prosperity, except the ‘gold’ now is education and employment.
The declining value of rupee and auguries of recession have led to a number of notable companies like Meta, Twitter, etc. laying off a significant part of their workforce. Among those impacted, a sizable demographic is that of immigrants on work visas, whose future is now uncertain.
But the demand for a foreign degree in India continues to increase and rather inordinately. As per the recently released Open Doors 2022 Report on International Educational Exchange, the number of Indian students enrolling in US universities alone was 199,182 in 2021-22, an increase of 9% from last year.
Last year, nearly 4.6 lakh study visas were issued for Indian students by US, UK, Canada, and Australia. Experts, too, are bullish on the growth in demand for higher education in the coming years, deeming the recession as a temporary setback. While I do share the sentiment, I’d still take the expert advice with a grain of salt.
Foreign education is an expensive affair to begin with, but it can become trickier if the chances of the student securing employment and residence are hindered. This can happen due to a variety of reasons— 1) the ongoing recession, 2) difficulties in securing work visas, 3) hiring freeze across major industry sectors, 4) lack of quality education, 5) absence of a ‘technical’ degree.
The failure to secure employment coupled with the impending student loan obligations can be extremely taxing on future prospects as well as mental health. Therefore, parents and students must cut through the noise on what’s trending to carefully evaluate the ROI on foreign education. Here is a list of factors one needs to consider before making this decision:
1. The overall cost of the degree including tuition, living expenses, etc.
2. The quantum of loan, scholarships, family contribution, and other miscellaneous funds you’d require to pay off the aforesaid costs
3. If you are taking a loan, what is the nature of the loan—is it dollar denominated or subject to currency fluctuation, what is the interest rate, is there a moratorium, investment opportunities, etc.
4. Country-specific regulations on working while studying and on securing employment and residence in the country after your studies
5. Career opportunities in the country or the field of your choice and the cushion you would require during down time, such as the period after securing your degree and before getting a job