{"id":578497,"date":"2023-01-02T02:51:41","date_gmt":"2023-01-02T02:51:41","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/blackboards\/what-to-expect-in-education-in-2023\/"},"modified":"2023-01-02T02:51:41","modified_gmt":"2023-01-02T02:51:41","slug":"what-to-expect-in-education-in-2023","status":"publish","type":"blackboard","link":"https:\/\/enterpriseam.com\/egypt\/blackboards\/what-to-expect-in-education-in-2023\/","title":{"rendered":"What to expect in education in 2023"},"content":{"rendered":"

<\/a> What\u2019s to come in education in 2023?<\/strong> Rising inflation, EGP devaluation and the subsequent cost pressures faced by schools will continue to dominate administrators' concerns well into 2023. Much like 2022, this year we\u2019ll likely see schools and universities putting expansion plans on pause and cutting costs wherever possible as they brace for worsening economic headwinds.<\/p>\n

Inflation and devaluation are the name of the game: <\/strong>By far the biggest concern keeping school administrators up at night as we head into the new year are macroeconomic conditions and the looming threat of further EGP devaluation. \u201cThere\u2019s a lot of headlines of uncertainty. Number one is inflation,\u201d El Alsson Executive Director Karim Rogers tells us.<\/p>\n

Cost-cutting measures are becoming crucial to get by: <\/strong>\u201cI\u2019m buying chemicals and toilet paper and cleaning supplies in bulk and storing them. Non-essentials like purchasing laptops for a new lab next year will be put on hold,\u201d Rogers says. Similarly, Eduhive schools are \u201cdeploying very aggressive cost-cutting measures\u201d like reducing administrative staff, combining departments, and trying to boost the number of seats in classrooms, EduHive CEO and BCCIS Chairman Karim Mostafa explained.<\/p>\n

But for the most part, curriculums will remain unchanged: <\/strong>\u201cI can't touch anything to do with education, because that touches quality,'' Mostafa says. The quality of the education won't be affected much, but schools might reduce certain activities like retreats and international travel, explains Ahmed Tolba, Professor of Marketing and Chair of the Department of Management at AUC.<\/p>\n

The same is true at the university level: <\/strong>At AUC, academic priorities will be guided by the university\u2019s strategic plans \u2014 which include topics like environmental sustainability \u2014 and are expected to remain immune from inflationary pressures, Tolba explains.<\/p>\n

When it comes to priorities among existing students, things look like they\u2019ll remain stable:<\/strong> \u201cI don't think existing students are necessarily changing their minds about majors. Maybe some might put off adding a minor. Maybe some might take on extra credits to speed up their graduation date,\u201d Tolba tells us.<\/p>\n

Expansion plans are going on hold for now: <\/strong>There\u2019s almost unanimous agreement among insiders we\u2019ve spoken to that expansion plans are off the table for quite some time. \u201cAny kind of construction and expansion is on pause for the foreseeable future for most schools. Those who had plans to open their doors in 2023 need to work on a faster schedule to avoid fluctuations in prices \u2014 even then they won't recoup their costs, they'll just be cutting losses,\u201d Rogers tells us. Eduhive schools are also putting construction plans on hold, according to Mostafa.<\/p>\n

Some schools are pushing for tuition cap increases: <\/strong>\u201cWe have to increase tuition fees. We\u2019re now in negotiation with the ministry to try to increase our tuition beyond the 7% cap,\u201d Mostafa says. For AUC, tuition prices are in fact already rising.<\/p>\n

But those dreams might not materialize for a while: <\/strong>Although many administrators agree that the 7% cap on tuition increases won\u2019t sufficiently cover the rising costs they\u2019re up against, some see getting approval for a bump on that cap to be an unrealistic goal in the near future.\u201cNo one can talk about raising tuition right now. No one would dare go to the education ministry and request a raise in tuition rates. It's a question of national security. We saw the same problem in 2016 and the ministry said no way,\u201d Rogers tells us.<\/p>\n

More flexible tuition payments will continue to be necessary accommodations for parents: <\/strong>More forgiving tuition payment plans will become an indispensable part of supporting students and their families in the coming year. AUC will be \u201csetting aside a special financial aid budget to absorb the pressure from tuition increases. When it comes to new students, there will be more scholarships made available to support top students,\u201d Tolba tells us. For Eduhive schools, one solution might come from negotiating favorable repayment terms with companies like ValU to help parents make good on tuition.<\/p>\n

Schools are increasingly at risk of losing out on talent to the GCC: <\/strong>Several school administrators we spoke to have noted that the Gulf is becoming an increasingly attractive location for teachers from North America and Europe. \u201cOur main competitors are in the GCC,\u201d Mostafa says. \u201cThose who leave are probably going to be lured by the GCC,\u201d Rogers told us, owing primarily to the fact that they will likely receive better offers \u2014 or at least ones that keep pace with inflation. \u201cEven if we give raises, come March and there\u2019s more turbulence, it won\u2019t cover expenses,\u201d Rogers says.<\/p>\n

But Egypt still has an edge for some foreign teachers: <\/strong>\u201cI think foreign teachers who have been in Egypt for a long time will stay,\u201d Rogers tells us. \u201cI think we have an edge over the GCC for two reasons: Living expenses are a fraction of what they are over there. Which means they can save much more. The weather is also a huge factor. You\u2019d be surprised how significant it is,\u201d Mostafa explains.<\/p>\n

Parents will be opting for more budget friendly alternatives in the coming year: <\/strong>Since 2016 there\u2019s been a gradual increase in demand for more quality budget schools among parents, according to several sources we spoke to. \u201cParents who were paying 200k want to pay 120k and those who were paying 120k want to pay 80k,\u201d Mostafa says.<\/p>\n

At the university level a similar change has been unfolding:<\/strong> \u201cStudents who might have been looking at AUC as their target might opt for a less expensive university,\u201d Tolba says. Meanwhile, students who might have otherwise been gunning for enrollment at foreign universities might start scaling down their search to target local schools that are now cheaper by comparison, Tolba explained.<\/p>\n

Some M&A activity could also be on the table: <\/strong>\u201cI think we\u2019re going to see bigger names coming from the Gulf acquiring a bunch of schools and putting them under a big company,\u201d Mostafa tells us.<\/p>\n

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Your top education stories for the week:<\/strong><\/p>\n