Germany's €620M windfall: How international students boost the economy for decades
Germany could gain billions from international students over the long term, according to new economic projections. Each group of 1,000 first-year non-EU students adds €620 million to the economy over 44 years. Yet some states, like Baden-Württemberg, already charge these students €1,500 per semester in tuition fees.
Currently, German taxpayers spend around €11,000 annually to train each student. Despite this cost, international students bring a net financial benefit to the state. Government revenue from their presence surpasses the initial investment within a few years.
Two-thirds of European countries already impose special fees on foreign students. In Saxony, the AfD faction has proposed a bill introducing €1,500 tuition fees, with an option for repayment. This follows Baden-Württemberg’s existing model, where non-EU students pay the same amount per semester. Experts suggest that attracting more international students could help stabilise Germany’s workforce. If net immigration reaches 400,000 people yearly by 2035, the labour force would remain steady. Opening universities to foreign talent could also fill gaps in qualified training sectors. Without sufficient immigration, Germany faces economic risks. A lost decade in real output could occur if challenges like an ageing population persist. However, even without tuition fees, international students could still provide a significant economic boost.
The long-term financial benefits of international students are clear. Each cohort contributes hundreds of millions over decades, offsetting initial education costs. With the right policies, Germany could strengthen both its economy and workforce through foreign talent.
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