International Graduates Projected to Contribute $1 Trillion to Four Major Study Destinations

International students contribute to their host countries in different ways, but their role in the economy does not necessarily end when they graduate. Many remain in the country to begin their careers, bringing their skills into local industries and helping meet workforce needs. A new report by Studyportals and Cambridge English IELTS examines the economic contribution these graduates make after completing their studies and the value they could generate over their working lives.

The report, The Global Impact of International Graduates: Talent Beyond Borders, estimates that international graduates who stay and work in their study destinations could generate $1.7 trillion in economic output over a 40-year working-life period. The United States, the United Kingdom, Australia and Canada account for an estimated $1 trillion of this contribution, representing almost 60% of the global total.

The estimates focus on the 2024 international graduate cohort. According to the report, approximately 1.15 million graduates from this cohort stayed in their study destinations and entered the workforce by 2025. Together, they generated an estimated $110 billion in economic output during their first year of work.

The report’s model estimates that the annual contribution from this group falls to $66 billion at the five-year mark and $53 billion at the ten-year mark as graduate retention declines. These figures represent estimated contributions at specific points in time, not cumulative totals.

Economic output refers to the value generated through the production of goods and services. In this report, it measures the estimated economic contribution of graduates who remain and work in their study destinations. It does not represent their personal earnings or the tax revenue collected by governments.

The report also highlights the fields in which international graduates study. Its dataset includes more than 46,000 graduates who studied computer science and information technology, over 42,000 in engineering and technology, and 31,000 in medicine and health. These fields are linked to sectors experiencing skills shortages. Among graduates in these fields, those who stayed in their study destinations represented the largest group, accounting for between 48% and 59%, depending on the field.

However, staying in the country of study is not the only path after graduation. The report identifies three broad pathways: remaining in the study destination to work, returning to the home country, or moving to another country. The $1.7 trillion estimate covers graduates who stay and work in their study destinations, rather than all international graduates.

The report also examines contributions beyond economic output. Its dataset includes more than 35,000 international graduates working in non-profit organisations, over 30,000 in creative arts, museums, historical sites and zoos, and more than 20,000 in health, wellness and fitness. These roles demonstrate how international graduates also contribute to the social and cultural life of their communities.

The findings highlight the potential long-term contribution of international graduates to the countries where they build their careers. However, the figures are modelled estimates, not guaranteed outcomes for individual graduates. Employment opportunities, graduate retention and the productivity of destination economies all influence the economic contribution they ultimately make.

Source

https://indianexpress.com/article/education/study-abroad/us-uk-canada-australia-to-gain-1-trillion-from-international-graduate-talent-student-visas-immigration-rules-10929149/