Survey: 75% of Indonesian Students Still Want to Study Abroad Despite the Pandemic

<strong>Jakarta, October 11, 2021</strong> – Despite the ongoing challenges posed by COVID-19, 3 out of 4 Indonesian students remain eager to pursue their education abroad. This indicates that the appeal of studying abroad continues to grow. However, 32% of prospective students say the pandemic has affected their plans, with the biggest impacts being postponing their study plans (68%), finding alternative payment options (41%), switching to remote online learning (24%), and choosing to study in a different country (20%).

These findings were revealed in a study released today by Wise, a leading global technology company specializing in payments and money transfers. The study was conducted in collaboration with TransforMe, an edtech startup that helps Indonesian youth go global. More than 200 Indonesian students were surveyed in this study, which aimed to understand how the pandemic has impacted prospective and current Indonesian students studying abroad.

<strong>Cross-border payment challenges add to the burden on international students</strong>

When it comes to sending or receiving money from abroad, 58% of Indonesian students feel that the high cost of international money transfers has negatively impacted their finances, and as many as 36% agree that the time spent waiting for international money transfers to reach their destination affects their financial planning.nn

In addition, these factors rank among the six biggest challenges reported by students studying abroad—adapting to currency differences and exchange rates ranks fourth, after language barriers (No. 1), homesickness (No. 2), and cultural differences (No. 3).

Difficulties with international money transfers, which are an essential service for international students, add to the burden faced by students already struggling with pandemic-related financial challenges:

• • For students who receive financial support from their families, 57% of them said they receive money once a month.

• • A total of 52% of scholarship recipients send money abroad at least once every three months.

• • The well-being of international students has taken a hit during this period; with students unable to fully experience life as international students (78%) and feeling isolated and lonely (43%), as well as experiencing stress and anxiety about health concerns (40%)—these are the most significant impacts of the pandemic on students abroad.

<strong>Better international money transfer services can improve the quality of life for international students</strong>

With the average global money transfer fee remaining high at 6.38%, it’s no surprise that as many as 84%—or the vast majority—of international students believe that fast and transparent international money transfers would improve their quality of life while studying abroad.

Conventional methods of transferring money abroad through traditional financial institutions typically involve high fees and hidden costs in the form of additional exchange rate charges that are often not disclosed, leading most people to unknowingly pay more than they should. Indeed, 22% of prospective students said they were unsure or did not believe there were no additional fees when transferring money abroad. These factors highlight the importance of cheaper, faster, and more transparent international money transfer services to alleviate some of the difficulties faced by students abroad.

<strong>Elian Ciptono, Indonesia Country Manager, </strong><strong>, Wise</strong>, said: “This survey shows that high fees, slow transfers, and a lack of transparency in foreign currency transactions have a significant impact on students’ finances when pursuing their education abroad. At Wise, our goal is to provide fast, affordable, and transparent money transfer services so that students can reduce their financial worries and focus on getting the best possible learning experience abroad.”

<strong>Retno Lestari, CEO & Founder of TransforMe</strong>, explained: “Despite the challenges posed by the pandemic, we see that Indonesian students remain enthusiastic about studying abroad. In fact, TransforMe was founded during the pandemic, and through our scholarship incubator program, we’ve helped many students who wanted to continue their education abroad. We hope to continue supporting even more students in pursuing their dreams of studying abroad.”

<strong>TransforMe Webinar: Smart & Successful Strategies to Study Abroad — October 16 & 17, 2021</strong>

Furthermore, the results of this survey will be analyzed in detail during a workshop organized by TransforMe. The event is free to attend, and participants will also hear from scholarship program representatives who will share information about the Chevening, Fulbright, and LPDP scholarships, as well as life and financial management tips for international students from Nadhira Afifa, a master’s degree holder and Harvard alumna, and Elian Ciptono, Wise’s Country Manager for Indonesia and an alumna of HEC Paris and the Wharton School. For more details, click here.