IDP Education Ltd. · ASX:IEL
IDP Education — Australian International Education Conference (AIEC) (2001)
37 slides from IDP Education's conference presentation, 2001
Slide 1: The impact of new student visa regulations in India, Korea and China
The impact of new student visa regulations in India, Korea and China Bernadette McDonald Noel Benjamin Iain Watt
Slide 2: Where were we before the changes?
Where were we before the changes? 16% growth in offshore visa grants 35% growth in onshore visa grants Growth in all major markets except India, Singapore and Vietnam
Slide 3: Student visa grants by post
Student visa grants by post 9000 8000 7000 6000 5000 4000 3000 2000 1000 0 C In Ja M So Th H In Si US hi on al do di ng pa ai ut A na ay a g ne la h ap n si K nd K si or on a or a e ea g 1999-00 2000-01
Slide 4: Onshore visa grants by citizenship
2000-01 12000 10000 Onshore visa grants by citizenship 8000 6000 4000 2000 1999-00 m na 0 et Vi nd la ai Th an iw ea Ta or K h ut So e or ap ng Si a si ay al M n pa Ja a si ne do In a di g In on K g on H na hi C
Slide 5: Markets before July 1
Markets before July 1 India - major market, bona fides issues resulting in declining numbers, potential to grow again South Korea - significant offshore but dominant onshore and growing strongly China - biggest and fastest growing market
Slide 6: Individual Markets
Individual Markets India South Korea China
Slide 7: India - recent history
India - recent history 6000 5000 4000 3000 2000 1000 0 1990 9991 1992 1993 1994 1995 1996 1997 1998 1999 2000 • 1990s rapid growth from low base – largely driven by private VET • Decline in grants since 1998/99
Slide 8: India - reasons for decline
India - reasons for decline • High cancellation and non-compliance onshore: – breach of work rights – student bona fides questioned – initial focus on fraudulent documentation – recent emphasis on finances • Progressively increased scrutiny of visa applications
Slide 9: Visas granted 1998/99-2000/2001
Visas granted 1998/99-2000/2001 1000 800 600 400 200 0 1998/99 1999/00 2000/01 2001/02
Slide 10: Applications 1998/99 - 2000/2001
Applications 1998/99 - 2000/2001 1500 1200 900 600 300 0 1998/99 1999/2000 2000/01 2001/02
Slide 11: India - 2000/2001
India - 2000/2001 • Over 8,000 applications received - slight increase over previous year – around 3,500 grants - 22% drop • July 2001 intake: – Applications increased by 300 cf July 2000 – 50% lodged in last 2 weeks of June – students missed start date: deferments – low grants - rejections on groun
Slide 12: Visas granted 2000/2001
Visas granted 2000/2001 Post graduate 40% Higher education • Post secondary 43% 17% • Post-graduate 40% • Higher education 17% • Schools and ELICOS less than 1% each Post secondary award 43%
Slide 13: India the new regulations
India the new regulations • AL4 for VET, Higher Education, Post- graduate, ELICOS, Foundation; AL3 for Schools • 2001/2001 - to 10 September: – 250 applications – 29 refusals: no IELTS score, finances – 14 grants - even sectoral spread
Slide 14: India – market reaction
India – market reaction • Financial requirements more onerous – quantum required (VET, HE) – six months before applying – acceptable forms of financial holdings – definition of sponsors • IELTS – gazettal of institutions for PG students • Media reaction has been limited – some adverse, mostly factua
Slide 15: India - Issues
India - Issues • Agents: – alienated by rejections pre-July and fear of impact of new regulations – understanding of new regulations eg IELTS • Students: – planning message: prepare now for July 2002 – inquiries to AEI and response to recent exhibitions indicate high level of interest
Slide 16: What have we been doing?
What have we been doing? • Seminars for agents in June - Delhi, Hyderabad • Working with AAERI - agents association • Follow up workshops in October • Fortnightly promotional seminars, press liaison • Briefing of Indian government officials
Slide 17: Likely impact in India
Likely impact in India • Lower numbers for February/March – UG market will suffer – VET? Transparency will help – packages – post-graduate should continue to be strong • Clearer basis for decision-making means clearer messages for students and agents • Invest for the long term: July 2002 recovery
Slide 18: Korea in 2000/2001
Korea in 2000/2001 • Gazetted status • ELICOS growing strongly along with UG and schooling. VET and PG steady growth
Slide 19: South Korea student visa applications
South Korea student visa applications 1998-2001, by month 1000 900 800 700 600 500 400 300 200 100 0 1998 1999 2000 2001
Slide 20: Sectoral Breakdown: July - June 00-01
Sectoral Breakdown: July - June 00-01 Undergraduate Postgraduate 7% Diploma/Certificate 2% 4% Foundation 0% Schools ELICOS 5% 82%
Slide 21: What is the impact in Korea?
What is the impact in Korea? • Korea reclassified from gazetted (effectively AL2) to AL3 • AL3 for VET, Undergraduate, ELICOS, Schools, and AL2 For Postgraduate • Implications for re-classification • Impact too early to assess
Slide 22: Market reaction in Korea
Market reaction in Korea • Agents support removal of on-shore visa issue • Some market concerns • Media reaction
Slide 23: What have we been doing?
What have we been doing? • AEI/DIMA briefings for agents in Seoul and four provincial cities • DIMA actions • AEI actions
Slide 24: Long term impact in Korea
Long term impact in Korea • Impact likely to be disproportionate across sectors • Agents could work against market to maintain business • More transparency in decision making, and clearer basis for decision making
Slide 25: China in 2000-01
China in 2000-01 Special regulations for PRC students Unbalanced mix of applications 19,000 applications received Average of five months from application to grant
Slide 26: PRC student visa applications
PRC student visa applications 1996-2001, by month 6000 5000 4000 3000 2000 1000 0 1996 1997 1998 1999 2000 2001
Slide 27: PRC student visa grants
PRC student visa grants 1998-2001, by month 1400 1200 1000 800 600 400 200 0 1998 1999 2000 2001
Slide 28: PRC students granted visas by sector
PRC students granted visas by sector VET Other 3% 1% PG 37% PG UG Vet School Other UG School Found 5% 53% ation 1%
Slide 29: What were the impacts in China?
What were the impacts in China? Huge spike in applications in May and June Rush to submit PQI applications Only 500 odd applications in July, but over 1,000 in August 70% of applications for secondary school
Slide 30: Spike in PRC applications
Spike in PRC applications Almost 3,000 applications for Masters in June Over 1,600 secondary applications Students unclear about new regulastions PQI rush
Slide 31: PQI and the PRC
PQI and the PRC Only 60% of quota submitted Only advantage now is faster processing Many will judge PQI not worth the risks Still being marketed energetically by agents
Slide 32: July lull in China
July lull in China Only slight lull for secondary applications Substantial lull for masters applications August back up almost pre-June levels
Slide 33: Market reaction in China
Market reaction in China Media confused about whether new regulations are harsher or easier Financial requirements less difficult English requirement lower for most Transparency will be a huge plus in the long run
Slide 34: What will be different?
What will be different? Student loans Packaging of courses In-country courses articulating to study in Australia
Slide 35: What have we been doing?
What have we been doing? Joint seminars in 3 major cities in June Visits to every Province in July/August Joint media briefing Interviews with Chinese language media
Slide 36: Long term impact in China
Long term impact in China Total applications will continue to increase Success rate will also increase Secondary school applications remain strong UG/VET will grow consistently - strong channels from in-China courses Masters/doctorate will settle back to around previous level Preliminary ELICOS huge
Slide 37: The impact of new student visa regulations in India, Korea and China
The impact of new student visa regulations in India, Korea and China Bernadette McDonald Noel Benjamin Iain Watt
Idp Education — Australian International Education Conference (AIEC) (2001) on 6ix