More UAE students have enrolled in local branches of international colleges this year, shunning their US and the UK campuses, heads of admissions in universities in the Emirates said.
The drop in the number of students going overseas is largely a result of uncertainty caused by the coronavirus pandemic.
Campuses of international universities in the UAE have reported an increase in domestic enrolment this year.
We had our highest summer intake in seven years
“We had our highest summer intake in seven years, in the midst of a global pandemic and recession," said Brendan Vyner, director of marketing and student recruitment at University of Wollongong in Dubai.
The university's summer enrolment numbers increased by 23 per cent when compared to the same time last year. Last year, 3,313 students were enrolled at the university.
Students choosing to study closer to home
The fear of being away from family if travel restrictions are imposed and impending lockdowns in countries such as the UK have affected students’ plans for international education.
“With major international education destinations such as the US, UK, Canada and Australia being closed or heavily restricted to international students, we are seeing increased demand from students who are interested in studying at an international university closer to home,” said Mr Vyner.
“The uncertainty caused by Covid-19 has made people wary of international travel, and in some cases removed the option completely.
“This has left many students who would have travelled abroad stranded and not willing to wait for one more year to decide on their future."
Recruitment officers at universities said they faced difficulties brought on by the pandemic but that that situation also provided the education sector in the UAE with opportunities.
“The major boost we saw was increased demand from our domestic sector, where 60,000 students who regularly travel abroad are potentially stuck in Dubai and are unable to attend universities in the US, UK or Australia,” said Mr Vyner.
Carl Casey, recruitment counsellor at Rochester Institute of Technology Dubai (RITD), reported a 25 per cent increase in summer enrolment numbers compared with last year.
“More students have elected to stay within the UAE for further education due to the on-going impact of Covid-19," he said.
Last year, the university admitted 849 students.
Close to half of the university’s students, 46 per cent, come from the Mena region, and 15 per cent are Emiratis.
The University of Birmingham in Dubai also reported an increase in the number of applications.
“We had a noticeable number of increased applications in the UAE, which is demonstrating that a lot of UAE students are not looking to travel overseas,” said Chris Taylor, senior recruitment manager for the University of Birmingham Dubai.
"They are starting to recognise the options that they have here and are staying to study.
“Our largest increase is from within the UAE and we have seen a 20 per cent increase."
Mr Taylor said students felt they had lost out on the last few months of their education and did not want to lose more.
The University of Birmingham in Dubai has about 100 first year students and double that in their second year.
Studying abroad: Perspectives of UAE students
Some students were unable to go abroad for higher studies because of financial constraints and others stayed because of travel restrictions.
Kareem Hany, a 17-year-old Egyptian student in Dubai, wanted to study at the University of Manitoba in Canada but decided to look for options closer to home when the pandemic struck.
Mr Hany, a first-year electrical engineering student at RITD, spoke of his relief at staying in the Emirates.
“With the coronavirus outbreak, I think the UAE handled it better than Canada," he said.
“Things were already going into lockdown at the time, so I decided to stay back here and study in the UAE."
Mr Hany spoke of his fear of being outside the country if travel restrictions were imposed.
“My family is in the UAE and staying far from home during such a time was not the best option,” he said.
“Many of my friends who wanted to study abroad also stayed back.”
Mr Hany was one of many students who won a scholarship.
The financial aid was an important factor in his decision.
He planned to study at one of RIT’s campuses in the US or China for a term.
“There were always good quality education offerings in the UAE but some students had dreams of studying abroad because they wanted to live independently,” he said.
“For me, the pandemic made the decision to stay in the UAE easier.”
Students still keen on exchange programmes
Students at UAE campuses of international universities will still have the option to go abroad for a term or a year.
At the University of Birmingham in Dubai, students can go to the UK for a time.
The academic requirements and fees at campuses in the UAE and the UK remain the same, but students have scholarships based on their academic achievements in the UAE.
"Students could also complete their first year in the UAE, and if they were always planning to go to the UK, we can help them go across to the UK campus in the second year," said Mr Taylor.
At the University of Wollongong in Dubai, the university can accept students in Dubai and then transfer them to Australia, Hong Kong or Malaysia next year once travel restrictions ease.
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FIRST TEST SCORES
England 458
South Africa 361 & 119 (36.4 overs)
England won by 211 runs and lead series 1-0
Player of the match: Moeen Ali (England)
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Investment: $5.2 million
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Investors: Global Founders Capital, Colle Capital Partners, Wamda Capital, Plug and Play, Comma Capital, Nowais Capital, Annex Investments and AMK Investment Office
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Dubai Bling season three
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Rating: 1/5
Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.
Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.
“Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.
Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.
“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.
Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.
From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.
Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.
BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.
Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.
Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.
“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.
Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.
“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.
“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”
The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”
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A MINECRAFT MOVIE
Director: Jared Hess
Starring: Jack Black, Jennifer Coolidge, Jason Momoa
Rating: 3/5
What is a robo-adviser?
Robo-advisers use an online sign-up process to gauge an investor’s risk tolerance by feeding information such as their age, income, saving goals and investment history into an algorithm, which then assigns them an investment portfolio, ranging from more conservative to higher risk ones.
These portfolios are made up of exchange traded funds (ETFs) with exposure to indices such as US and global equities, fixed-income products like bonds, though exposure to real estate, commodity ETFs or gold is also possible.
Investing in ETFs allows robo-advisers to offer fees far lower than traditional investments, such as actively managed mutual funds bought through a bank or broker. Investors can buy ETFs directly via a brokerage, but with robo-advisers they benefit from investment portfolios matched to their risk tolerance as well as being user friendly.
Many robo-advisers charge what are called wrap fees, meaning there are no additional fees such as subscription or withdrawal fees, success fees or fees for rebalancing.
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Ziina users can donate to relief efforts in Beirut
Ziina users will be able to use the app to help relief efforts in Beirut, which has been left reeling after an August blast caused an estimated $15 billion in damage and left thousands homeless. Ziina has partnered with the United Nations High Commissioner for Refugees to raise money for the Lebanese capital, co-founder Faisal Toukan says. “As of October 1, the UNHCR has the first certified badge on Ziina and is automatically part of user's top friends' list during this campaign. Users can now donate any amount to the Beirut relief with two clicks. The money raised will go towards rebuilding houses for the families that were impacted by the explosion.”
MATCH INFO
Uefa Champions League semi-final, first leg
Bayern Munich 1
Kimmich (27')
Real Madrid 2
Marcelo (43'), Asensio (56')