Rupee’s slide gives Indian students abroad a harsh lesson in home economics

The rupee’s slide spells bad news for scores of Indian students in the US and other dollar-driven European countries.

With the rupee breaching the 71 mark against the dollar, there is increasing concern not only among the students, but also their parents back home.

“We have been spending more and are worried as there are no clear signs of relief on the rupee-dollar exchange front,” a student who is pursuing post-graduation at the University of Dayton, Ohio, and did not wish to be named, told BusinessLine over the phone.

Over the past six months, the steep fall in the value of the rupee has resulted in a 15-20 per cent increase in the cost of living and tuition fees in the US, he added.

Currency concerns have been around for a while now. “The dollar rate has been impacting students in the form of higher tuition fees as well as living expenses, going by the feedback we received from students and parents,” said Sridhar Kottha, a senior executive with Mumbai-based Imperial Overseas Educational Consultants.

The cost of living for a student in the US ranges from $500 to $800 a month on an average, depending on the location.

While States such as California and New York are more expensive, those like Texas (which is popular with Indian students) are relatively cheaper.

According to Sanjeev Rai, Director, Hyderabad Overseas Consultants, the cost of overseas education has gone up in some dollar-driven economies in Europe, too.

Alternative destinations

“However, things are better in Canada and Australia,” he said. If the trend continues, some may prefer to study in destinations other than the US, he added.

There are about 3.5 lakh Indian students studying abroad; the US accounts for over 1 lakh of them.

Students availing of education loans may look for some cushion against an increase in tuition fees.