Nigerian students struggle in the UK due to the devaluation of the naira, as tuition increases by 60%

Nigerian students in the United Kingdom are facing challenges due to the naira equivalent of their tuition fees increasing by over 60% due to the Central Bank of Nigeria's recent move to unify the nation's foreign exchange rates. The apex bank decided to float the naira at the Investors and Exporters' Window of the foreign exchange market, leading to a 60% increase in tuition fees for students in the UK. This rise in exchange rate has put more pressure on many Nigerian students who are schooling in the UK and beyond. The UK is one of the destinations of choice for many Nigerians, with 128,770 Nigerian students enrolled in universities between 2015 and 2022. According to the CBN, study-related foreign exchange outflow to the UK rose to $2.5bn in 2022.

Nigerian students and their dependants in the United Kingdom contribute about £1.9bn annually to the UK economy, according to an analysis by SBM Intelligence. Many of these students may now struggle to pay the balance of their tuition due to the sharp decline in the value of the naira. UK universities are currently on break, and many Nigerian students are struggling to find more money to pay their tuition fees. The new exchange rate may cause many Nigerian students to drop out of school, as they struggle to raise enough funds to buy foreign exchange.

The UK exchange rate has significantly impacted Nigerian students, particularly those studying in London. The increase in the cost of forex has made it difficult for many Nigerian students to pay their tuition fees, making fee payment difficult. The Proof of Funds (POF) is a crucial requirement for students planning to study in the UK, as it proves to the UK government that a student has the capacity to take care of themselves while studying. The new exchange rate is dependent on when students submit their visa applications, and the PoFs have almost doubled. This has affected the number of people applying for study visas, as they now need about N6 million extra if they don't have it.

The PoFs have also increased considerably, with many intending students struggling to meet up. One Nigerian student, Titi, reported that her PoF was pegged at N600/pound when she started her visa processing, but by the following week, it hit N16 million. She was able to save her admission if she applied less than a week before the change, but now her PoF is over N16 million. The new exchange rate is causing Nigerian students to rethink their plans and seek more money to cover the cost of living in London.

The exchange rate in Nigeria has significantly changed, with the need for N14 million to N15 million now being required. This has led to financial strain and constraints for Nigerian students, particularly those studying at the University of Birmingham. The CBN's Form A, an application form designed for service transactions, has faced challenges due to the new policy. A senior officer of a commercial bank reported that despite the floating of the naira, the bank still receives large requests for foreign exchange (FX) for Form A. Travel consultants also reported that many Nigerian students who left to study in the UK still don't have their fees processed by Nigerian banks. The exchange rate has also affected the number of international students from Nigeria studying in the UK, US, Canada, and Ukraine. Nigerian parents have urged the Federal Government to intervene in the FX crisis.

The Federal Government should help all involved in the education sector, as it is not their fault. One of the reasons people go abroad is due to the situation in institutions. The government should work with parents and academics to solve the problems in the education sector. Akinjagunla Paul, a Nigerian student in the UK, urged the President to grant concessions to Nigerian students abroad who applied for Form A before the new forex policy was implemented.