In this article, we discuss the 20 countries with the highest cost of education. If you want to read about some more countries with the highest cost of education, go directly to 5 Countries With Highest Cost of Education.
Persistent inflationary pressures and the steadily rising cost of living around the world have brought the high cost of college education into the spotlight as students struggle to meet their quality tertiary education needs. According to a report by the Organisation for Economic Co-operation and Development (OECD), an intergovernmental organization, between 2012 and 2019, the average spending per student on tertiary education, the educational level following the completion of secondary education, increased by 1.2% annually. On average in 2019, $17,600 was spent per student on tertiary education in OECD countries.
The increase in spending is noteworthy since it came about despite an overall increase in the number of students enrolled in universities and colleges across the world, as well as an increase in government spending on institutions that offer post-secondary courses. In addition, the impact of the pandemic, which accelerated the need for digital classrooms, also points to the incredible recovery of the education market post-2020. Some of the education companies to monitor in this context include Chegg, Inc. (NYSE:CHGG), TAL Education Group (NYSE:TAL), and New Oriental Education & Technology Group Inc. (NYSE:EDU).
There are several reasons why college education is becoming more expensive. Some of these include the growing demand for higher education — in OECD countries, the number of students in colleges and universities has increased by around 0.4% per year in the past decade, an increase in financial aid packages — public spending on higher education around the world has reached more than $1 trillion, and the increasing costs associated with running top educational institutions — bloating administrator and teacher fees as well as student amenities. Per news outlet CNBC, the cost of colleges in the US has increased by 129% over the past four decades.
Despite this, the number of colleges around the world continues to increase. In the Global South alone, per a report by Toronto-based Higher Education Strategy Associates (HESA), the number of higher education institutes increased from around 40,000 to more than 70,000 between 2006 and 2018. India and China are at the forefront of this growth. More than 200 million people around the world are presently students, the report highlights. In the Global South, this number has increased from 78 million in 2006 to 150 million in 2018. Half of the students across the world reside in China, India, the United States, Russia, and Brazil.
Interested readers can also take a peek at 20 Countries with the Best Education and 30 Cities with the Best Education System in the World for further insight into the education world.
Our Methodology
In this article, we will list the 20 countries with the highest cost of education. The ranking is calculated by comparing the average annual tuition fee required for one year of university/college in a country against the average annual wage in that country. The countries in which the percentage of the average annual wage spent on average annual tuition is the highest are considered high cost. Data for this purpose has been taken from The Education Price Index for 2022 and the Average Annual Wage data collected and maintained by the Organisation for Economic Co-operation and Development. For countries that lie outside the OECD, various sources have been used to calculate average annual salary. An initial data set comprising the top 50 countries on the Education Price Index was used to narrow down the list of the top 20 countries with the highest cost of education. It is pertinent to mention that this ranking varies from others on the internet that use the same methodology. This is because of the difference in average tuition and average wage figures for each country, taken from multiple sources, as well as the initial dataset that limited the selection pool to the 50 top countries on the education price index.
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Countries With Highest Cost of Education
20. Australia
Average Annual Tuition Fee: $5,939
Average Annual Wage: $59,408
Percentage of Wage Spent on Tuition: 10%
Australian universities are among the best in the world, especially in dispaines such as engineering and technology. International students also prefer Australian colleges because the employment opportunities in the country are attractive for post-graduates. Even though the tuition fees are high compared to other nations, the average wages are high as well, and students are willing to pay these high costs in order to get good jobs. Some top Australian colleges include the University of Melbourne, Australian National University, and University of Queensland.
Just like Chegg, Inc. (NYSE:CHGG), TAL Education Group (NYSE:TAL), and New Oriental Education & Technology Group Inc. (NYSE:EDU) across the world, Australia is also home to many successful education-based businesses.
19. Spain
Average Annual Tuition Fee: $4,882
Average Annual Wage: $42,859
Percentage of Wage Spent on Tuition: 11.4%
Spain is one of the most popular choices for international students looking for quality higher education. College education in Spain is cheaper compared to the earnings potential of the region, making the country a hot destination for students. Some of the top universities in Spain include the University of Barcelona, the Complutense University of Madrid, and Universidad Autónoma de Madrid.
18. India
Average Annual Tuition Fee: $2,816
Average Annual Wage: $22,948
Percentage of Wage Spent on Tuition: 12.2%
India, an emerging world power, has more than 1,000 higher education institutions spread across the country. Although not a preferred destination for international students, the country has invested heavily in the education sector over the past few years and is starting to attract foreign talent, as technology giants like Alphabet Inc. (NASDAQ:GOOG), Microsoft Corporation (NASDAQ:MSFT), and Amazon.com, Inc. (NASDAQ:AMZN) expand their product portfolios in the region. Some of the top universities in the country include the Indian Institute of Technology (IIT), the University of Delhi, and Anna University.
17. Singapore
Average Annual Tuition Fee: $9,112
Average Annual Wage: $68,712
Percentage of Wage Spent on Tuition: 13.2%
Singapore, one of the tiniest countries in the world, is one of the top destinations for international students despite the higher costs associated with studying there. One of the best universities in the country, the National University of Singapore (NUS), has achieved global recognition, featuring in the top half of the list of Top Asian colleges since 2013. The country also provides attractive earning opportunities to students after graduation, making it easier to woo talent from across the world.
16. Ireland
Average Annual Tuition Fee: $7,231
Average Annual Wage: $52,243
Percentage of Wage Spent on Tuition: 13.8%
Irish universities often feature on the global university indexes and the country is a top European destination for students. Some of the most prominent colleges in the area include Trinity College Dublin, National University of Ireland, and University College Cork. A wide range of programs, including natural sciences, technology, economics, and the humanities, can be found at these colleges.
15. Canada
Average Annual Tuition Fee: $9,176
Average Annual Wage: $59,050
Percentage of Wage Spent on Tuition: 15.5%
Canada is perhaps one of the favorite study destinations for students from across the world. The proximity to the United States, home to the most renowned colleges, as well as a diverse population, and low crime rates are some of the reasons for this. Canadian universities feature regularly on global college rankings. Some of the best universities in the country include University of Toronto, York University, and McGill University.
14. Ukraine
Average Annual Tuition Fee: $1,416
Average Annual Wage: $8,976
Percentage of Wage Spent on Tuition: 15.7%
The image of Ukraine as a student-friendly country has waned in the wake of the war with Russia. However, Ukrainian colleges remain one of the best in Europe, especially in the technology space. The country is home to more than 800 colleges that offer a wide variety of programs in many different languages, including English. In Europe, Ukrainian universities produce the fourth highest number of graduates.
13. Mexico
Average Annual Tuition Fee: $3,364
Average Annual Wage: $20,340
Percentage of Wage Spent on Tuition: 16.5%
Mexican universities are popular in Latin America, featuring on the best university rankings in the region regularly. A bachelor’s degree in the country can be completed in four years while the master’s programs take around two years to finish. A doctorate can take three years. Some of the top colleges in the country include National Autonomous University of Mexico, Monterrey Institute of Technology and Higher Education, and University of Guadalajara.
12. Scotland
Average Annual Tuition Fee: $9,305
Average Annual Wage: $53,985
Percentage of Wage Spent on Tuition: 17.2%
Scotland has become a popular choice for students from across the world because it is home to the best colleges in the world, hosts the largest annual arts festival globally, and is famous for the striking landscapes which attract tourists. It is the northern part of the United Kingdom. Some of the top universities in the area include University of Edinburgh, University of Glasgow, and University of St Andrews.
11. Chile
Average Annual Tuition Fee: $5,757
Average Annual Wage: $33,042
Percentage of Wage Spent on Tuition: 17.4%
Most of the universities that are famous in Chile are based in Santiago, the capital of the country. Colleges in the country also feature on the world rankings for best universities. The diverse landscape of the region, which is home to mountains, glaciers, lush plains, and beautiful beaches also makes it a top tourist destination. Famous colleges in Chile include Pontificia Universidad Católica de Chile, Universidad de Chile, and Universidad de Concepción.
10. Japan
Average Annual Tuition Fee: $8,132
Average Annual Wage: $41,509
Percentage of Wage Spent on Tuition: 19.6%
The majority of universities in Japan are private entities, but among the highest-ranked Japanese colleges in world indexes, a large number are government-owned. Top research schools in Japan include the University of Tokyo, Kyoto University, Tohoku University, Kyushu University, Hokkaido University, Osaka University, Nagoya University, and the Tokyo Institute of Technology. Top Japanese businesses only hire from the top Japanese universities.
9. Malaysia
Average Annual Tuition Fee: $3,396
Average Annual Wage: $16,799
Percentage of Wage Spent on Tuition: 20.2%
The Malaysian government has allowed a bunch of top colleges from around the world to establish branches in the country, a move aimed at attracting international students. Some of these schools, like the University of Nottingham from the UK and the Monash University from Australia, attract the top students from across the world. Famous local universities, which are competing internationally in terms of quality of education on offer, include Universiti Kebangsaan Malaysia, Universiti Putra Malaya, and Universiti Sains Malaysia.
8. England
Average Annual Tuition Fee: $11,405
Average Annual Wage: $53,985
Percentage of Wage Spent on Tuition: 21.1%
English universities are the oldest and most renowned across the world, boasting names such as University of Cambridge, University of Oxford, and Imperial College London. Students prefer to study in these colleges because of their historical prestige. These colleges are also some of the most expensive in the world. Medical degrees in the country can cost upwards of $40,000 per year. The cost of living in the country is also high. Despite this, the country is home to a thriving student community that is growing each year.
7. Israel
Average Annual Tuition Fee: $9,442
Average Annual Wage: $44,156
Percentage of Wage Spent on Tuition: 21.3%
Israel is one of the most well-educated countries in the world. Even though the landmass and population is tiny compared to other nations, the research breakthroughs coming from Israeli colleges demonstrate the elite educational culture at schools. Israel is placed tenth on the number of citations per academic papers, averaging from all disciplines, a remarkable feat given the size of the country. Some of the top schools in Israel include Hebrew University of Jerusalem, Tel Aviv University, and Technion-Israel Institute of Technology.
6. United Arab Emirates
Average Annual Tuition Fee: $12,535
Average Annual Wage: $53,880
Percentage of Wage Spent on Tuition: 23.2%
The United Arab Emirates is the most modern of Arab kingdoms in the Middle East, and Dubai, one of the most famous cities in the world, is home to many top colleges and universities. Like Malaysia, a lot of universities from across the world have established local campuses in the area. Famous local colleges include United Arab Emirates University, American University of Sharjah, and Khalifa University.
Along with Chegg, Inc. (NYSE:CHGG), TAL Education Group (NYSE:TAL), and New Oriental Education & Technology Group Inc. (NYSE:EDU) across the world, the United Arab Emirates also has many successful education-based businesses.
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Disclosure. None. 20 Countries With Highest Cost of Education is originally published on Insider Monkey.