Me? Study abroad? Not now!

Eco slowdown is forcing young Mumbaikars to reconsider that alluring overseas degree

A foreign degree has been in much demand in India. But this year, fewer Mumbai youngsters have applied to colleges abroad.

No, they haven't suddenly found new appreciation for Indian colleges. It's the damning economic slowdown that has forced them to put their dreams on hold.

Take the case of Aman Khatwani who changed his mind about doing his graduation abroad. "My SAT results weren't good enough for a scholarship. The fee for my four-year course worked out to about $200,000 (Rs 1 crore), but a job would pay me only $4,000 (Rs 2 lakh) per month. So I decided not to go," he explained.

In contrast last year, the number of Indians going abroad for studies soared. At least, 97,000 Indian students enrolled in Australian universities, 94,563 in American universities and 3,000 in Canadian universities.

But this year, according to the Council of Graduate Schools, an international graduate admissions survey Phase I states, "A potentially troubling sign is that applications from prospective students from India fell in 2009, with a decline of 9 per cent."

Lesser financial aid

Shevanti Narayan, country co-ordinator, Educational Advising Services, United States-India Educational Foundation, said, "Some of the universities have offered our students lesser financial aid than initially expected.
If students do not receive sufficient financial assistance, they may think twice before investing in US education."

Another reason is the lack of bank loans. Mayur T (24), said, "I couldn't go to the US for aerospace studies because I did not get a loan from the bank due to the slowdown."

Those who got bank loans, before the slowdown are finding it difficult to pay back. Nadim Sayyed believes he's one of the worst-hit students. The 25-year-old had gone to the US in 2007 to pursue MS in civil structural engineering, but had to leave the course midway and return home this January. "I lost my job as a librarian due to the recession. I could not support myself anymore. I have joined a company in Mumbai so I can pay my loans," he said.

But for some, the situation is not totally bleak. Tushar Chavan (25) from Dadar is relying on his family. "I took a small bank loan and my father and brother have agreed to sponsor the rest for my MBA studies in Australia," he said.