The Contribution of International Students to the German Economy
A report by the German Economic Institute reveals that international students provide billions of euros in net gains to the public budget and contribute to employment.
According to a new study conducted in Germany, international students provide billions of euros in net profit to the country's economy and public budget. The prepared report shows that one-third of the students stay in Germany in the long term.
Details of the Research Report
The report prepared by the German Economic Institute on behalf of the German Academic Exchange Service revealed that foreign students contribute much more to the country's economy than commonly thought. In the study, official data were evaluated in detail for the first time.
Labor Market Participation Rate
Forty-five percent of international students take their place as skilled labor in the German job market initially after a successful graduation. One-third of the students continue to stay in Germany in the long term until retirement.
Gains Provided to the Public Budget
Approximately 82,000 international students who started their studies in 2023 and intend to graduate are expected to generate around 127 billion euros in value throughout their working lives. This situation leaves a net profit of 23.1 billion euros for public budgets.
Return on Taxes and Contributions
Just two years after completing their education, graduates pay more taxes and contributions, exceeding the expenditures the state made for them. These paid taxes and social security contributions more than cover public expenditures.
Evaluations by Experts
DAAD President Joybrato Mukherjee stated that the announced figures prove the importance of international students in terms of securing skilled labor. It was emphasized that Germany must offer attractive educational conditions.