International students enrolled in tertiary education

Indicator Description

Numbers of international students enrolled in tertiary education.

What Have We Found

After rapid growth from 1998 to 2004, the number of international students in New Zealand has declined in each of the last two years, principally due to a decline in students from China

Why This Is Important

Increasing overseas student numbers is part of the government’s export education initiative.  The initiative, set up in 2001, aims to increase export earning, manage risk, ensure other economic, educational and cultural benefits, and also ensure industry ownership and responsibility for development and promotion activities.

A key criterion for sustainability of export education is that there is a diversity of international students in terms of country and region of origin.  This limits the impact of sudden changes in demand from particular countries, and for particular programmes and fields of study.  A diverse mix of students also spreads the impact and benefits of international students more widely across the tertiary education sector and more evenly throughout individual tertiary education organisations

Revenue from international students provides public tertiary providers with another source of funding, making them less reliant on income from government grants and fees from domestic students. 

How We Are Going

After rapid growth from 1998 to 2004, the number of international students in New Zealand has declined in each of the last two years.  The total number of international students studying in publicly funded tertiary education organisations increased from 9,272 in 1998 to a peak of 50,441 in 2004, a 5.4-fold increase.  However, since 2004 the number of international students has declined by 15% to 42,652 in 2006.

International student enrolments in publicly funded tertiary education (1998 to 2006)

International students as a proportion of total student numbers has also declined, from 10.4% in 2004, to 8.7% in 2006.  As a result, income for the tertiary education industry from international students dropped from $4.86 million in 2004 to $4.18 million in 2006, a decrease of 14%.  This decline in international student numbers also results in a reduction in other potential spending within the New Zealand economy by these students.

In 2006 over 21,000 international students came from China.  This represents almost half (49%) of international students, highlighting the dependence of the tertiary education sector on students from that country.  In 1998, there were only 139 Chinese students studying in New Zealand at public tertiary institutions and publicly funded private tertiary institutions in formal programmes.

However, from 2004 to 2006 the number of students from China declined by 8,845 (29%).  Over this same period international students from all other countries increased by 1,055 (5%).

Proportionally in 2006, the next largest numbers of international students came from the United States, South Korea, India and Japan.  Compared with China, however, in terms of absolute numbers, student numbers from each of these countries were relatively small at 6% or less of the total number of international students.

The highest area of growth continues to be in students from the Middle East region, though absolute numbers are only around 1% of the total.

Where To Find Out More

To obtain a more complete understanding of participation in tertiary education, consider indicators:

• Participation rates in tertiary education
• Tertiary student retention
• Participation in industry training

References

Ministry of Education (2007). New Zealand's Tertiary Education Sector Profile & Trends 2006. Wellington, Ministry of Education.

Ministry of Education (2006). Tertiary Education Strategy 2002/07: Monitoring Report 2005. Wellington, Ministry of Education.