How the recession forecast is affecting the study plans of international students in the US

Asian students—particularly China and India—make up more than 50% of the international student population in the United States.

However, the ongoing Russo-Ukraine war and the depreciation of the rupee have added to the burden on Indian students.

This is because the tuition fees have automatically increased along with the rising cost of living. in present, inflation According to the Bureau of Labor Statistics, in the US it is about 8.6% – higher than in the early 1980s. This has had a deep impact on the pockets of foreign students.

According to StudyInternational.com, some US universities have increased the cost of tuition fees after surviving the pandemic. For example, Seattle University and Syracuse University have raised their tuition fees by 3.75% and 4.5%, respectively.

The growing US recession and its impact on international students?

1. Education will be expensive

Tuition fees are rising due to the threat of recession due to this student loan debt pile-up. Even if colleges or universities choose not to increase fees, the qualitative cost of higher education will still be high. For example, rising inflation may cause employers to reduce wages or reduce their employees nationwide. Students who are dependent on their parents to repay loans or for their education may struggle due to income cuts.

According to a report by Forbes, the fee for the four-year undergraduate program at Harvard University has increased from $82,178 in 2021-22 to $84,413. 69,46,151) in 2022-23 for Indian students.

The estimated annual cost for an Indian student at the Massachusetts Institute of Technology (MIT) has increased from $77,020 for the academic year 2021-22 to $79,850 for 2022-23.

2. High cost of living

Inflation will directly increase the cost of living and it may be difficult for the students to pursue the dream of studying in the US.

In the US, the cost of tuition fees for international students is generally higher than for US students. This, on top of increasing groceries and rent, will require international students to spend more money.

3. Job Crisis

Hiring has also been put on hold due to the economic slowdown. Big tech companies like Google and Microsoft have announced a temporary ban on recruitment.

In addition to the above issues, the Reserve Bank of India has recently increased the interest rates on education loans. For Indian students studying abroad, bigger loans mean bigger EMIs with less stability in the job market.