Over the past decade, the number of Nepali students obtaining No Objection Certificates (NOCs) from the Ministry of Education for studying abroad has surged by 300%. In the financial year 2070/71, there were 28,126 NOCs issued. By the last financial year, 2080/81, this number had risen to 112,256, covering 66 countries.

This increase is also reflected in the financial outflow for higher education. According to Nepal Rastra Bank, over the past 10 years, a total of NPR 5.018 trillion has been spent on education abroad.

Shift in Preferred Destinations

Australia, which had been the top destination for Nepali students, has seen a decline in preference. In the previous year, Australia was the destination for 30.77% of NOCs, but this dropped to 12.80% last year. Japan, on the other hand, has become the leading destination, rising from 19.28% to 30.93% of NOCs issued. Canada, previously third, is now in second place with 14.23% of NOCs.

Factors Behind the Trends

• Australia: The decline in Australian destinations is attributed to stricter visa requirements and a new policy limiting foreign student enrollment to 40% of total college and university seats. This is expected to impact the labor market significantly.
• Japan and South Korea: Japan’s appeal has grown, while South Korea has also seen increased interest due to its affordable education compared to Australia and the UK. South Korea’s goal of increasing the number of international students to 300,000 by 2027 is contributing to its rising popularity.

Visa and NOC Statistics

Despite the increase in NOCs, not all students proceed to study abroad. Approximately 60% of those who obtain an NOC successfully secure a visa. The NOC process allows students to transfer tuition fees abroad through banks, which incurs a 3% education service fee.

Historical Context

The trend of Nepali students studying abroad dates back to the early 20th century. In 1902, eight students were sent to Japan for higher education on government scholarships, marking the beginning of international education for Nepali students.

Financial Expenditure

Over the past decade, Nepal has released significant amounts of money for education abroad:

• 2071/72: NPR 18 billion 10 million
• 2072/73: NPR 20 billion 10 million
• 2073/74: NPR 35 billion
• 2074/75: NPR 38 billion 10 million
• 2075/76: NPR 46 billion 32 million
• 2076/77: NPR 24 billion 81 million
• 2077/78: NPR 24 billion 95 million
• 2078/79: NPR 67 billion 70 million
• 2079/80: NPR 1 trillion 42 crore
• 2080/81 (up to May): NPR 1 trillion 17 billion 1 crore

In comparison, NPR 58 billion has been spent on tourism up to May last year, indicating that education-related expenditures significantly surpass tourism expenditures.

Experts’ Views

Educational experts suggest that the high number of students studying abroad reflects a need for better educational opportunities domestically. Dr. Vidyanath Koirala argues that skills and job opportunities should be developed locally to reduce the need for overseas education.