Market Snapshot: South Korea
South Korea is one of the world’s largest outbound student markets, with approximately 126,000 students studying overseas each year. Demand for international education remains strong, underpinned by a deep cultural commitment to education, intense domestic competition for places at the country’s most prestigious universities, and a widespread belief in the value of high-quality education and globally recognized degrees. As a result, interest in studying abroad remains robust despite the country's shrinking youth population.
But the market is shifting. Rising costs, currency depreciation and growing scrutiny of return on investment are reshaping how Korean students and families make decisions, and which destinations they choose.
Key findings
• The US remains the leading destination for South Korean students, but its position is under pressure. Enrollments fell 19.8% year-on-year to September 2025, driven by visa and immigration uncertainty. Australia is the standout growth market, with student visas up 23.3% year-on-year to March 2026. The UK has remained broadly stable, up 1% year-on-year. Canada has seen a notable decline of 2.8% year-on-year to March 2026, with a sharper short-term drop of 24.8% in the most recent three-month period.
• The Korean won has weakened against all Big Four destination currencies over the past year: down 11.9% against USD, 9.96% against GBP and 20.17% against AUD. Combined with tuition fee inflation, this has significantly increased the real cost of overseas study and is sharpening price sensitivity among Korean families.
• Alternative destinations are gaining share. Japan attracts an estimated 13–14% of South Korean outbound higher education students, equivalent to around 16,000–17,500 students per year, drawing interest through proximity, lower costs and strong employment opportunities. Germany and the Netherlands are also growing.
• Subject preferences vary by destination. In the UK, Design and Creative and Performing Arts leads at undergraduate level, with Business and Management the top Master's subject. In Australia, Health dominates at undergraduate level, with Health and Information Technology leading at Master's. In the US, Engineering and Math and Computer Science are the top undergraduate subjects, with Business and Management leading at Master's level.
• South Korea has 43 universities in the QS World University Rankings 2027, with 4 in the top 100 and 7 in the top 200. The average IELTS score for outbound students is 6.3.
• South Korea has already exceeded its Study Korea 300K target, hosting 314,000 international students as of February 2026, a 22.2% year-on-year increase. Vietnam has overtaken China as the top source country, with 115,131 students enrolled.
• South Korea faces severe long-term demographic decline. The fertility rate sits at around 0.7–0.8, far below replacement level, and the 15–24 age cohort is projected to fall to just 7% of the population by 2040.
• Transnational education remains limited and tightly regulated in South Korea. Unlike China, Singapore, or the UAE, large-scale foreign branch campuses face significant structural barriers and TNE is likely to grow only gradually.
Why it matters
• The value conversation is now the central challenge in this market. Korean families are applying greater scrutiny to the cost of overseas study relative to graduate outcomes. Providers that can connect programs clearly to employability and post-study work opportunities are better positioned than those relying on institutional prestige alone.
• Currency depreciation is compounding tuition inflation across all three major destinations. The AUD impact is particularly sharp at over 20% year-on-year. Scholarship and pricing strategies that reflect real family cost pressures will be increasingly important to maintaining competitiveness.
• Australia’s 23% visa growth signals genuine momentum. Its combination of proximity, post-study migration pathways and perceived value is resonating. This is an opportunity for providers with a strong Australian offering.
• The US decline is significant but not necessarily structural. Much of the pressure stems from policy and visa uncertainty rather than a fundamental shift in destination preference. Providers should monitor this closely rather than deprioritising the market.
• TNE poses a lower near-term risk here than in other Asian markets. Strong domestic elite universities, a preference for physical overseas study, and tight regulation mean outbound mobility from South Korea is more resilient to local TNE expansion than in comparable markets.