IDP

Education
2010 Middle East

Visit www.idp-me.com
IDP Education • MIDDLE EAST

Countries under Middle East

Bahrain, Egypt, Kuwait, Oman, Qatar, Saudi Arabia, United Arab Emirates
ECONOMY

Figure 1. Percentage GDP Growth for Middle Eastern Countries, 2008 to 2011

Source: International Monetary Fund - WEO April 2010, July 2010.

According to the April 2010 IMF forecast report, GDP growth in the key Middle East countries is forecast
to grow moderately in the following countries after strong declines in 2009, Egypt from 4.7% in 2009 to 5.0%
in 2010, Saudi Arabia from 0.1% to 3.7%, United Arab Emirates from -0.7% to 1.3%, Oman from 3.4% to
4.7%, Kuwait from -2.7% to 3.1%, and Bahrain from 2.9% in 2009 to 3.5% in 2010.
Qatar is forecast to have the largest increase from 9.0% in 2009 to 18.5% in 2010.

Figure 2. Offshore Visa Grants and AEI Commencements by Sector for Middle Eastern Countries, 2008 to 2010

Sources: Australian Education International – Standard Pivot Table, June 2010, DIAC Visa Grants data.
(1)
AEI Commencement data from 2008 to 2010 by financial year (July to June).
(2)
DIAC Visa data is Offshore Visa Grants by financial year.
DIAC offshore visa grants (across all combined sectors) have declined as follows between FY2009 and
FY2010: Saudi Arabia from 7,792 to 7,309 (-6.2%), Egypt from 633 to 548 (-13.4%), United Arab Emirates
from 656 to 650 (-0.9%), Oman from 433 to 429 (-0.9%), Bahrain from 141 to 104 (-26.2%) and Qatar from
92 to 58 (-37.0%). Only Kuwait had an increase from 131 to 344 (+162.6%),
Commencements from the Middle East accounted for 2.9% of total commencements in FY2008, 3.2%
in FY2009 and 3.1% in FY2010.
Overall AEI Commencements (across all sectors) had growth between FY2009 and FY2010 for the following:
Saudi Arabia increased by +40.0% from 5,714 to 8,172 commencements, United Arab Emirates from 842 to 916
(+8.8%), Oman from 336 to 361 (+7.4%), Kuwait from 104 to 148 (+42.3%), Bahrain from 133 to 144 (+8.3%)
and Qatar from 58 to 65 commencements (+12.1%). Only Egypt had a decline of -17.6% from 1,450 to 1,195
commencements in that period.

Market overview
The Middle East is an extremely diversified
market with each country uniquely
different. Essentially an oil driven economy,
it has a highly variable per capita income
from US$3,000 to US$95,000. The
Gulf Cooperation Council (GCC) nations
are trying to reduce dependence on oil
through diversification into construction
and tourism.
In terms of higher education opportunities
in the Gulf and Saudi, there are a handful
of universities and colleges in each
country and local opportunities for higher
education are limited. A high percentage
of students go overseas, with most
enrolling into a foundation/English course
before going on to higher education. It is
essentially a scholarship driven market
though there are some markets, like the
UAE and Bahrain, which have a higher
percent of self-funded students.
The demand for higher education
overseas will continue to grow in the
region. Governments have identified
the need to develop human resources
and the supply of local undergraduate
places is not expected to be fulfilled for
years to come in the region. The Saudi
government has extended the King
Abdullah Scholarship Program (KASP)
for the next five years. This will enable
over 50,000 students to continue their
overseas education. Other Gulf countries
also offer generous scholarships to their
nationals for higher education.
Libya, Turkey, Syria, and Iraq are the
future new markets for Australia as new
politically neutral destination.
The United Arab Emirates is a diverse
and unique market with Abu Dhabi
concentrating on the scholarship-awarded
local Emiratis, and Dubai focussing on
the self-funded expatriate market. The
scholarship department at the Ministry
of Higher Education has released 400
scholarships for overseas education which
includes scholarships to USA, Canada,
New Zealand, Australia and UK.
The UAE government is focusing on
developing the English language skills
of local Emirati students at home and
then allowing them to continue their
higher education overseas, which means
enrolling in universities directly instead of
through foundation studies.
Kuwait offers over 400 scholarships
to Australia, which are currently being
handled by the Cultural Attaché with
IDP assisting students with their visa
requirements. Bahrain continues to be
a self-funded market catering both to
nationals as well as expatriates.
Oman continues to provide scholarships,
though the Ministry of Higher Education
(MOHE) has started processing
applications through their Cultural Attaché
in Melbourne. Most scholarships are
focussed only on undergraduate and
postgraduate degrees and students are
encouraged to achieve their English levels
in Oman before the scholarship is granted.
Oman and Kuwait also have a number
of self-funded expatriate students going
overseas for higher education.
Saudi Arabia higher education market
has huge potential and the government
continues to be committed to support
education initiatives to develop the Saudi
Community for the future.
Allocating US$37 billion (more than 25%
of the total Saudi budget) for education in
the 2010 budget plan is an indicator of the
priority given to education. The number
of Saudis studying abroad, according to
the latest 2010 update, is approximately
81,000 students globally and out of
MIDDLE EAST • IDP Education
these 70% are scholarship students.
It is estimated that 1,350 students will
graduate from Australian universities within
one year.
More than 350 universities from across the
world, including 20 Australian universities,
participated in the International Exhibition
of Higher Education (IEHE) in January. This
was the first exhibition of its kind and a
turning point in higher education in Saudi.
The King Abdullah Scholarship Program
for the next five years is expected to
sponsor over 50,000 Saudi students,
which is a huge opportunity for institutions
in the Middle East.
The visit by the Saudi Minister of Higher
Education to Australia and his meeting
with the Australian Minister of Education in
May 2010 was important step to promote
the importance of Australian universities.
Libya is moving quickly towards a variety
of economic reforms after the removal of
UN-sanctions. Although the oil sector was
the primary beneficiary of the elimination
of sanctions, foreign investments
benefited other areas of the economy,
particularly construction, transportation,
tourism industry, power and other sectors.
Libya has a potential market for many
sectors, such as telecom, oil, tourism and
infrastructure projects and the increased
investment in the country should lead
to a growing demand in all sectors. This
has led decision makers in all these fields
to develop their national capabilities
through intensive study courses, including
overseas higher education and training
programs.
Currently there are over 700 scholarships
to Australia mainly in the postgraduate
sector. Most of the students seeking
these scholarships need to package their
studies with an ELICOS course to achieve
the level required for the major. There is
also a demand for vocational courses.
The key players in the education sector
are the Ministry of Education & Scientific
Researches and The Higher Education
Departments at the Libyan Universities.
IDP Middle East
IDP Middle East is well positioned as a key partner
with IDP clients for promoting higher education in
Australia, both to local government scholarship bodies
and to students and their parents. IDP is proud of its
reputation as a trustworthy organisation which puts
the interests of students first in turn enabling the
Middle East region to benefit from a population of
highly qualified and educated citizens.
United Arab Emirates is comprised of seven different
Emirates, each one with its own special characteristics.
The two main Emirates where IDP has a presence are
Abu Dhabi and Dubai; Dubai works as a feeder market
to the close-by Emirates, Sharjah, Ajman and Ras-al-
Khaimah, while Abu Dhabi also caters to Al Ain –
a small city adjacent to Abu Dhabi. There is a definite
demographic difference between Abu Dhabi and Dubai.
Abu Dhabi has 80% of students who are nationals, and
Dubai has only 20% local students. This difference also
shows in the funding sources: Abu Dhabi has more
scholarship students while Dubai is essentially a self-
paying market.
IDP Saudi Arabia has a strong presence in the local
community with three large offices supporting and
guiding students from throughout Saudi. The offices
are strategically located in the main cities in Saudi
Arabia: the capital Riyadh in the Central Province;
Jeddah in the western province and the major urban
centre; and Al Khobar in the Eastern Province and
the largest city on the Persian Gulf.
IDP also has a strong presence in Oman, Kuwait
and Bahrain and is considered the first choice for
students living in the region when they think of
education in Australia.
IDP Tripoli office started operations in Feb 2010
and is catering to the scholarship and self-funded
student market in Libya.
IDP has also moved its regional head office to
Cairo, Egypt which is currently operating only as
a representative office. IDP intends opening offices
in Iraq, Turkey, Jordan and Iran in the next 12 – 18
months. IDP also intends opening new IELTS test
centres and English Language Centres in the region.
In order to create both geographical and vertical
growth in the region, IDP has hired professional
resources to assist in executing strategic plans.
A new CFO, Marketing Manager and a Business
Development Manager are responsible for taking
IDP Middle East to the next level. A Country Director –
Gulf States has also been hired to be responsible for
the operational and strategic growth and development
of the region.

This publication is for general information only.

Current as at October 2010.

Visit www.idp-me.com