Last week, the Finnish Parliament has debated the Government’s proposal on amending the Universities Act and the Universities of Applied Sciences Act. The crux of the proposal is that, going forward, higher education institutions will be required to charge international students from outside the EU and the EEA a tuition fee that covers costs. This is following in the footsteps of other Nordic countries such as Sweden, where similar legislation has had undesired effects. (See the blog post)
The legal reform would have the most dramatic effect on the scholarship schemes of higher education institutions. When it enters into force, the Act will undermine the higher education institutions’ current scholarship schemes, and scholarships will become scarcer. Unfortunately, the best applicants often choose their country of study specifically because of scholarship schemes. Many applicants who have been denied a scholarship do not accept an offer to study in Finland.
The working group preparing the legislative amendment is now considering incentives for international students to enter and stay in Finland. So far, there has only been enough money for commissioning studies, not for taking action. One suggestion has been a national scholarship scheme, which lacks funding. This would limit the autonomy of universities in maintaining their own scholarship schemes and weaken Finnish scholarship opportunities as a whole.
Finland, along with other EU countries, desperately needs international experts. Both Finland’s demographic structure and an ongoing talent shortage have resulted in a glaring need for international experts, since increasing the number of employed people is entirely reliant on immigration. Internationalism is intrinsic to higher education and science. However, the Government’s actions erode the ability of higher education institutions to attract international students. At the same time, the Finnish Immigration Service has raised the income thresholds for residence permits. International students moving to Finland are not entitled to student loans or social security.
At the moment, the new law is due to enter into force in 2026. Once it enters into force, it will destroy the logic of the current scholarship schemes. If a sufficiently comprehensive scholarship scheme is not implemented before the expectation of full coverage enters into force, there is a danger that the number of international students will collapse. It is therefore imperative that decision-makers secure funding for the new scheme soon. This can also be done by allocating funding directly to higher education institutions, which would respect their autonomy.
