Between January and March 2024, Nigerians spent $38.17 million on studying abroad.
This information comes from the Central Bank of Nigeria’s (CBN) report for the first quarter of 2024.
The money spent on foreign education decreased by 83% from $218.87 million spent in the same period last year.
However, compared to the last quarter of 2023, where $24.82 million was spent, the amount increased by 54%.
The drop in spending is linked to fewer international students going to UK universities this year.
A survey from Universities UK (UUK) showed a big drop in new international student enrolments, especially in postgraduate programs. In January, there were 44% fewer international students compared to last year.
This drop in students, who usually pay more for postgraduate courses, is a problem for universities because they get less money.
Data from Enroly, used by about 60 universities, also showed fewer international students are interested in studying in the UK. They are not paying deposits like they did before.
What you should know
In February, the Governor of CBN, Yemi Cardoso, said that spending so much on education and medical trips abroad is one reason why Nigeria is facing challenges with its money exchange rates.
He told the House of Representatives that Nigeria spent $40 billion on foreign education and healthcare, which has hurt the value of the Naira.
Cardoso pointed out how hard foreign exchange (forex) is to get, which is making the Naira lose value.
Even though less money was spent on education abroad compared to last year, more money was spent on health services abroad.
The CBN said spending on health services went up by 122% from $1.04 million in Q1 2023 to $2.31 million this year. Compared to the last quarter of 2023, it’s an increase of 485% from $0.39 million.
In February, Newslodge reported that CBN would make it harder to buy foreign currency for education and medical expenses through Bureau De Change (BDC) operators.
According to the new rules for BDCs in Nigeria, there will be a limit of $10,000 per customer per year for school fees. The money will go directly from the BDC’s account to the school.
To make these transactions, you will need documents like e-Form A, proof of admission, the school’s bill or invoice, and a copy of the undergraduate degree or results for postgraduate studies.
For medical bills, there will be a limit of $5,000 per year. The money will go directly from the BDC’s account to the medical facility.
For these transactions, you will need e-Form A, a referral letter from a specialist doctor in Nigeria, valid travel documents, and a letter from the overseas doctor showing the cost of treatment.
These new rules were approved in May 2024 and might further cut down how much Nigerians spend on education and medical services abroad.