According to a report by HSBC, studying in Australia can prove to be a costly affair for international students due to its high fees and expensive cost of living. On average, students from overseas have to pay over $42,300 annually to pursue their education at Australian universities, making it the most expensive destination across the world. While the US is not far behind with an average yearly cost of $39,200 annually, Britain comes in third with an average cost of $33,300 per year. However, Australias fee structure is comparable to that of the US. What makes a significant difference is the cost of living, which stands at an average of $14,400 per year in Australia.
When compared to Australia, studying in Germany is significantly cheaper, costing just one-sixth of the total cost needed for education in Australia. The HSBC report suggests that almost one third of international students are now studying in the US and Britain. Thomson Chng, the president of the Council of International Students Australia, highlighted how the cost of living was the major issue that discouraged foreign students from choosing Australia despite its geographic advantage of being situated in the Asia-Pacific region. According to him, governments and education providers needed to take remedial measures to address this problem. He suggested analysing the factors contributing to the high cost of living for international students, such as travel costs, accommodation costs, visa pricing, health insurance, food, and meals. The governments and education providers should then provide concessions and subsidies to these expenses.
The report by HSBC suggests that the Australian education sector is still strong, although it cited a 12% decline between 2009 and 2012. Nearly 30% of overseas students in Australia come from China, and 9.2% come from India. Still, there was a 16.7% decrease in the number of Indian students from 2012 to 2013 after a series of attacks on them. However, with around one in five university students coming from overseas, the higher education sector in Australia still remains robust. Furthermore, with the Australian dollar falling, HSBC predicts that there could be a reverse swing, attracting more overseas students to Australia. The changes implemented by the Australian government in 2012, which streamlined international student visa processing, are also likely to boost the inflow of overseas students. According to Graham Heunis, the head of retail banking and wealth management for HSBC in Australia, "the falling Aussie dollar and simplified visa process should spark a resurgence in overseas students placing Australia on top of their destination lists."
