Nepal’s income from int’l students surges by 125.51 percent

There has been a big increase in the country's foreign currency earnings from international students coming to study in Nepal in the current fiscal year. The latest macroeconomic report published by the Nepal Rastra Bank (NRB) shows the country earned Rs 2.02bn in the first seven of FY 2022/23 from foreign students, an increase of 125.51 percent from Rs 897.3m in the same period of the last fiscal year. The country earned Rs 1.51bn from foreign students in FY 2021/22. According to NRB, such earning was Rs 1.04bn in FY 2020/21 and Rs 2.23bn in FY 2019/20. The foreign currency earnings from education declined in the last two fiscal years due to the Covid-19 pandemic as foreign students could not come to Nepal. However, with the easing of international travel, there has been a surge in the number of foreign students studying in the country lately.

Apart from subjects such as history and language, the majority of foreign students come to Nepal for medical education. According to the Medical Education Commission, 265 foreign students were enrolled in medical colleges in the last fiscal year.

According to the commission, students from Bhutan, Sri Lanka, India, Pakistan, and other countries come to Nepal for medical education. Currently, about 500 foreign students are studying at different medical colleges in Nepal. Similarly, foreigners also come to study language, history, law, and other subjects. But there is no integrated data on the number of foreign students studying in Nepal. As per the Medical Education Commission rule, 8.25 percent of seats in public medical colleges, 33 percent of seats in private medical colleges, and 50 percent of seats in private medical colleges run by foreign management have been allotted for foreign students. When foreign students study in Nepal, a large amount of money is spent on educational fees, housing expenses, etc. Education experts say that if the standard of the country’s education system is improved, Nepal can attract more foreign students as well as earn more foreign currency. While there has been growth in the foreign exchange earnings from international students coming to Nepal, the country is spending a much higher amount to pay the bills of Nepali students who’re studying abroad. As more Nepalis have been going abroad to study in recent years, more money is going outside the country for the purpose. The NRB report shows Nepalis have spent Rs 43.74bn in the first seven months of the current fiscal year for foreign education. Such spending amounted to Rs 67.70bn for education abroad in the last fiscal year 2021/22 which had surged due to the suppressed number of outgoing Nepali students in the previous two fiscal years due to Covid-related restrictions. In FY 2020/21 and FY 2019/20, spending for education decreased to Rs 24.95bn and Rs 25.81bn, according to NRB.