In December 2021, the Education New Zealand Board submitted its response to the Productivity Commission’s in-depth inquiry, titled “Immigration – Fit for the Future.” This submission serves as a beacon of optimism for the future of international education in New Zealand, shedding light on a wealth of knowledge and insights that illuminate various facets of international student experiences in our country.
This spirited response explores critical topics, such as the accessibility of temporary graduate visas, the allure of New Zealand as a preferred study destination for international students, and the post-study aspirations of these global learners. It also examines their creative financial strategies, their contributions to the local job market, and their impact on the housing sector. Representing an organization deeply committed to advancing international education in New Zealand, this submission aims to foster a robust discussion and inquiry into the crucial role international students play within our education system and their far-reaching effects on our nation’s economy and society. The future of international education in New Zealand shines brighter than ever.
The submission outlined significant areas such as,
- Importance of International Students: They contribute significantly to New Zealand’s education sector and economy.
- Work Rights and Post-Study Opportunities: Policies vary by country, impacting international students’ choices.
- Economic Impact: International education is a vital export industry, benefitting the economy.
- Funding Sources: Students rely on personal and family funds.
- Employment Patterns: Differ by industry and education level.
- Housing Market: Complex relationship with international student numbers.
- Government Policies: Should align with education goals and existing research.
- Capping International Students: Approach with caution, considering broader benefits and existing policy levers.
According to a report commissioned by Education New Zealand Manapou ki te Ao and conducted by EY, there’s optimism for the international education sector’s recovery in New Zealand, with a potential return to pre-pandemic levels by 2030. In 2019, this sector contributed a substantial $3.7 billion to New Zealand’s GDP, but the pandemic saw this drop significantly to an estimated $0.8 billion in 2020. The report also highlights the broader positive impacts of international education, including fostering global competence and enhancing New Zealand’s soft power in diplomacy and trade. It’s worth noting that around 75% of international students return to their home countries within three years after completing their studies in New Zealand.
Based on these great insights, The National Party in New Zealand aims to rejuvenate the international education sector as part of its strategy to rebuild the nation’s economy, benefiting all its citizens. Their plan includes supporting the recovery of international education, which would lead to increased export earnings, job creation, and stronger global connections, ultimately driving economic growth within New Zealand.
Reviving international education also holds significance for the country’s tertiary education institutions. Higher international fees contribute to the financial health of universities, polytechnics, and other tertiary bodies, allowing them to provide better education and services while maintaining reasonable costs for domestic students.
Detailed Overview of the plan
Fast Track Visa Processing :
The future of this plan to fast-track visa processing for international students in New Zealand looks exceptionally promising. Recognizing the time sensitivity of students when choosing their study destination, the National Party is taking proactive steps to eliminate delays in visa processing.
Currently, the majority of visa applications are processed within 44 weekdays, which, despite being above the targeted 30-day timeframe, still presents challenges. These delays have inadvertently made New Zealand a less appealing option for international students.
However, the National Party’s forward-looking approach involves the introduction of a priority visa processing system. This innovative system allows international student visa applicants the choice to expedite their applications by paying an additional fee. With this in place, Immigration New Zealand aims to process visas within a mere two weeks for those who opt for priority processing, a significant improvement from the current 30-week target.
This exciting initiative not only addresses the time constraints of students but also offers a streamlined and efficient pathway for those willing to invest in a faster application process. This will enable students to plan their journey to New Zealand with greater certainty, fostering a more attractive and welcoming environment for international students. For others, the National party aims to restore historic visa processing speeds, with the ambitious goal of 90 percent of all applications decided within 30 days.
Enable students and their partners to work more time and expand their work rights:
The future outlook for allowing international students and their partners to work more while studying in New Zealand is incredibly optimistic. Currently, students face a restriction of 20 hours per week for part-time employment, which falls short compared to some competing countries like Australia, where students can work up to 24 hours each week.
However, the National Party’s visionary plan is set to enhance New Zealand’s competitiveness in attracting international students. They intend to increase the current limit on part-time work hours from 20 to 24, aligning New Zealand’s visa policies more closely with international standards.
This strategic move not only offers students the opportunity to better sustain themselves financially during their studies but also positions New Zealand as a more attractive destination for education. The positive impact of this change extends beyond students, as it provides much-needed support to small businesses, particularly in sectors like hospitality, which have been grappling with labor shortages in recent years.
Prospective international students often prioritize the availability of employment opportunities in their chosen study destination. In New Zealand, international students already enjoy certain post-study work rights that depend on the type and duration of their completed qualifications. To make New Zealand even more appealing to international students, the National party plans to expand these work rights.
Additionally, attracting international students pursuing higher-level qualifications or those studying in areas facing skill shortages has been a challenge due to the lack of work rights for their partners. Recognizing the value of such students to New Zealand, the National Party intends to allow partners of international students enrolled in higher-level programs or studying in skill-shortage areas to work while their partners complete their studies.
These measures aim to provide international students with greater confidence in their future employment prospects and, simultaneously, alleviate skill shortages within the workforce. The National Party’s comprehensive strategy includes:
- Granting open work rights to partners of international students pursuing degree-level 7 qualifications or higher while they are studying.
- Extending post-study work rights for level 8 post-graduate diplomas from one year to a more substantial two-year period.
- Continuously reviewing the list of sub-degree courses eligible for post-study work rights, ensuring it aligns better with New Zealand’s skill shortages.
- Ensuring that international students studying sub-degree courses in areas facing skill shortages receive a minimum of 12 months of post-study work rights and permitting their partners to work while they are studying.
Enhance the global outreach of Education New Zealand’s student recruitment endeavors:
The future direction for diversifying the countries from which Education New Zealand recruits international students is exceedingly promising. A recent report underscored the need to reduce New Zealand’s heavy reliance on a select few countries as sources of international students. In 2022, a staggering 80% of international students in New Zealand originated from just nine countries, placing New Zealand in the bottom three nations for the diversity of its international student population.
This situation did not arise by chance; it stems from Education New Zealand, a government agency with a dedicated staff of 100, predominantly focusing its student recruitment efforts on Asian countries. While New Zealand values its strong relationships with Asian nations, it has become apparent that competitor countries have excelled in attracting students from a broader spectrum of countries, leaving New Zealand with untapped opportunities.
The National Party envisions a strategic shift for Education New Zealand, where diversifying student recruitment becomes a top priority. The aim is to expand outreach to a more extensive range of countries, strengthening New Zealand’s international education sector and enhancing its resilience in the face of unforeseen challenges.
The Key Benefits:
The plan to revive international education in New Zealand offers numerous benefits. It serves as a catalyst for the country’s economic recovery by boosting export revenue, creating job opportunities, and addressing pressing economic challenges like recession and rising living costs. Additionally, it fosters global connectivity, exposing New Zealanders to diverse perspectives, nurturing international networks, and positioning the nation favorably on the global stage. Moreover, the revenue generated from international student fees enhances the quality of education and services, benefiting both local and international learners. By aligning visa policies with international competitors and diversifying student recruitment, New Zealand has become a more competitive and resilient destination for international students, thereby securing a stable and sustainable source of revenue for the education sector and the broader economy.
