International students contributed $33.8bn to US economy in 2021/22

Economic value of international students:

The annual research by NAFSA Association of International Educators  shows an increase in economic value of US$5.5 billion over the pandemic-affected 2020/21 academic year, but the total remains well below pre-Covid levels and the record peak of US$40.5 billion recorded in 2018/19 (see long-term trend graphic above).

The economic value estimate covers tuition fees, accommodation and other spending, including dining, retail, telecommunications, insurance and transportation.

NAFSA’s economic value estimate is based on the Open Doors data released this week, which showed that there were 948,519 international students enrolled at US colleges and universities in 2021/22, a four per increase over the previous year.

“The increase in economic activity is certainly positive news but it should be kept in perspective: it shows we’ve only regained about half the ground lost in the previous academic year,” said Dr Esther D. Brimmer, NAFSA Executive Director and CEO.

Jobs supported:

International students at colleges and universities in the USA in 2021/22 supported 335,423 jobs, NAFSA estimated – an increase compared with 306,308 in the previous year but well below more than 450,000 jobs in 2018/19. According to the research, one job is created/supported for every three international students.

State contributions:

By state, California had the highest contribution from international students at US$5.4 billion, followed by New York ($4.9bn), Massachusetts ($3.1bn), Texas ($1.8bn) and Pennsylvania ($1.7bn). Eight states had a contribution of more than US$1 billion, one more than in 2020/21.

NAFSA also produced estimates on the economic value of international students at other levels of study in the USA.

Community colleges:

Students at community colleges contributed US$1.3 billion to the economy, a decrease of 13.4 per cent compared with the previous year, the organization said.

University English courses:

And international students at college and university English language programs contributed US$241.9 million, an increase of 5.8 per cent compared with the previous year but still 65 per cent below the 2019/22 level.

National strategy lobbying:

Dr Brimmer argued that country must not be complacent that increases will continue. “The U.S. is in a global competition for talent and our share of the international student market is declining while other English-speaking countries are seeing their share rise. International students are a well-spring of fresh ideas, talent and experiences and have fuelled American innovation for generations,” she said.

“The Biden administration should lead a coordinated effort to recruit and retain a diverse number of them to our institutions as part of a comprehensive national strategy for international education while Congress must pass legislation to facilitate their ability to study and work here after graduation.”

NAFSA has long been lobbying for more welcoming policies, including the creation of a dedicated national strategy.

Click here to access NAFSA’s interactive economic value tool.