Germany Earns 8 Times of Its Investments on International Students Even After Offering Free Education at Public Universities

While public universities in Germany do not charge tuition fees to international students, there is no way means that they are investing in them as a nation and losing their money. They are making a lot of money from international students, then what they invest in them. How does this happen, though? How does Germany get 8 times its investment on international students, without charging a fee? Germany has always been proactive and welcoming to international students. It is a nation that is developed, well-planned, and very aware of the acute labor shortages itis facing currently. In that scenario it's public universities charging no tuition fees provide an incredible incentive for aspiring international students to choose Germany, in turn Germany reaps the rewards of a skilled labor force that stays back in large numbers, contributing to their economy fora long time.

It concludes that Germany makes up the money it spent on training and assisting foreign students in German universities. Their revenue from taxes and other contributions to the German economy will pay for their higher education within three years of graduation if 40% of the international student body stays in the nation after graduation. Each new class of students contributes a net € 15.5billion over their lifetime if that rate of retention stays constant over time. Even with an average retention rate of only 30%, income will out weigh expenditure by € 7.4 billion in the long run. If half of the group were to remain in Germany in the long run, the net gain would even amount to € 26billion.

In the long run, investing in international students' education boosts Germany's skilled labor pool and, consequently, its economic growth. They aid in overcoming the difficulties posed by changing demographics. Furthermore, the investments boost public budgets over time and are very profitable from the standpoint of the public sector. The new study clearly shows how important international students are to Germany's economy, asserted Dr. Joybrato Mukherjee, president of the DAAD. International students contribute substantially more to the society they live in throughout their careers than Germany invests in their education and beyond, even though the majority of universities provide free tuition. Germany benefits greatly from the academic and economic contributions of international students.

In recent years, Germany's foreign enrollment has steadily increased. According to a recent survey, 65% of students stated that they plan to remain in Germany after graduation, and DAAD forecasts that there are at present 405,000 international students enrolled in the country. Along with Canada, Germany has the largest retention rate of international students among top study destinations, according to a recent OECD report. According to the OECD, 45% of international graduates remain in the nation ten years after they began their education.