DePaul University Takes Action: Navigating Budget Challenges as International Enrollment Declines

DePaul University is facing serious financial challenges due to a significant drop in international student enrollment. Recently, university leaders revealed plans to cut costs and explore different budget measures to cope with these changes.

In the past year, new enrollment of international graduate students plummeted by 62%. Overall, international enrollment decreased by 755 students. Officials attribute this decline to difficulties in gaining visas and a waning interest in studying in the U.S.

Experts have long predicted that changes in immigration policies could impact U.S. college enrollments. A report from NAFSA recently warned that the drop could reach 150,000 students nationwide, costing institutions around $7 billion in revenue and risking thousands of higher education jobs.

DePaul’s president, Robert Manuel, shared that these enrollment issues were not expected in their budget planning. According to federal data, international students made up 11% of DePaul’s total enrollment, meaning their decline will greatly affect the university’s finances since international students often pay full tuition.

Moreover, DePaul is also seeing a rise in financial need among its students, leading to increased pressure on the university to expand student aid. This year, institutional aid costs are estimated to exceed budget by $7 million.

Another pressing issue is the skyrocketing healthcare costs for university employees, which have risen nearly $23 million over the past five years. All these factors create a need for immediate action to control spending.

In fiscal 2024, DePaul reported an operating surplus of $16.6 million, a turnaround from an $11.1 million deficit from the previous year. However, while first-year and transfer enrollments are performing well, they aren’t enough to counterbalance the significant losses in international students.

The landscape for international students in the U.S. is shifting. Social media trends show increasing conversations about studying abroad, with many sharing concerns about visas and costs. This situation emphasizes the urgent need for colleges to adapt quickly if they want to attract international talent in the future. For more insights on international education trends, check NAFSA’s reports on the changing demographics of U.S. higher education.

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