UK universities at risk as number of students from Pakistan, other nations plunge — report

People walk outside the College of All Souls, in Oxford, on October 20, 2023. (AFP/File)
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Updated 14 May 2024
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UK universities at risk as number of students from Pakistan, other nations plunge — report

  • Students from Pakistan, India, Nigeria and China account for 70 percent of graduate visas
  • The Migration Advisory Committee found no evidence of widespread abuse for graduate route

LONDON: Britain should avoid further restricting international student numbers or some universities may collapse, a government commissioned report said on Tuesday, after foreign registrations plummeted for next year.

High levels of legal migration have long dominated Britain’s political discourse and were one of the major drivers for the Brexit referendum in 2016.

Along with care staff and low salaried workers, the government of Prime Minister Rishi Sunak has sought to reduce the number of students coming to Britain, including preventing some post-graduate students from bringing family members.

The Migration Advisory Committee, an independent body which gives the government advice, said the number of international postgraduate students paying deposits to study at British universities this September had dropped by 63 percent, compared with the previous year, after the government put restrictions on education visas.

The report warned that further restrictions on the so-called graduate route, which allows foreign students to work in Britain for up to two years after graduation, would lead to job losses, course closures and a risk “that some institutions would fail.”

Britain boasts some of the most famous and sought after universities in the world, from Oxford and Cambridge to Imperial College London. Business leaders argue that they boost innovation, increase creativity and provide a form of soft power, as many world leaders have studied at British colleges.

The government commissioned the review after concerns that the graduate visa route was being abused. Some British politicians have complained that some students are applying for visas and then claim asylum or overstay.

Esther McVey, a minister in Sunak’s cabinet, said on Monday that some British universities were “selling immigration to international students rather than education.”

A spokesman for Sunak said the government would consider the report and respond. But the spokesman highlighted concerns about the scheme, pointing out that more than 40 percent of international students using the route were either not working or earning below 15,000 pounds ($18,834) a year after graduation.

The Migration Advisory Committee found there was no evidence of widespread abuse specifically for the graduate route. Students from four countries – India, Nigeria, China and Pakistan – account for 70 percent of graduate visas.

British business lobby group, the CBI, said British universities were one of the country’s biggest export successes, and with the Migration Advisory Committee saying the system was not being abused “it’s time to put its future beyond doubt and end this period of damaging speculation.”


Pakistan’s first non-life Shariah-compliant takaful operator says ‘historic’ IPO oversubscribed 21 times

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Pakistan’s first non-life Shariah-compliant takaful operator says ‘historic’ IPO oversubscribed 21 times

  • Pak-Qatar General Takaful Limited offered 30 million shares to investors with ceiling price of Rs14 per share
  • Company says IPO proceeds will be used for investments in software, infrastructure, setting up new branches

ISLAMABAD: Pakistan’s first non-life Shariah-compliant takaful operator announced on Thursday that its initial public offering (IPO) was oversubscribed 21 times at the country’s stock exchange, saying the development reflected strong investor confidence in the Islamic insurance system. 

The Pak-Qatar General Takaful Limited said earlier this month it would issue 30 million shares with a floor price of Rs 10 and a ceiling price of Rs 14 per share. Institutional investors will receive 75 percent of the shares on offer, while the remaining 25 percent will be allocated to retail investors, it added. 

“Pak-Qatar General Takaful Limited’s (PQGTL) IPO book-building has concluded with a historic oversubscription of [21x] times, marking the first-ever IPO of a dedicated General Takaful company at PSX,” the company said in a statement. 

It said investors responded “strongly” as the strike price closed at Rs 14 per share, compared to the floor price of Rs 10. Total demand reached Rs 4.74 billion [$17 million].

The company said successful bidders will be provisionally allotted 22.5 million shares while the remaining 7.5 million shares will be offered to retail investors on Jan. 28-29. 

Shahid Ali Habib, CEO of Arif Habib Ltd., which was the lead manager for the IPO, said that country’s first-ever IPO of any dedicated general takaful company, has made a historic debut at PSX.

Habib said this reflects investor confidence in Pakistan’s fast-growing takaful sector and PQGTL’s strong market position.

The statement further said proceeds from the IPO will be utilized to fund strategic initiatives, such as investments in software and other intangible assets, hardware and infrastructure, marketing and brand development and human resource enhancement. 

Proceeds will also be used to establish new branches and transform existing ones to improve operational efficiency and customer experience, it added. 

Pak-Qatar General Takaful Limited is part of Pakistan’s pioneer Islamic financial services group and is backed by Qatar-based financial institutions.