Market intelligence for international student recruitment from ICEF
4th Apr 2018

Indonesia prepared to welcome foreign universities

Indonesia has a long-running, on-again-off-again strategy to open up its higher education system to foreign providers. The legislation that provides for such foreign participation in higher education delivery in the country has been on the books since 2012, but the government has been reluctant in the years since to formally open the process. It appears, however, that the tide is changing in recent months. In November, President Joko Widodo expressed his interest in having foreign institutions open new campuses in Indonesia in order to provide an important reference point for strengthening the country’s own universities. And following on from this, Research, Technology and Higher Education Minister Muhammad Nasir held a press conference in January at which he announced Indonesia would indeed welcome foreign providers later this year. Minister Nasir told the press conference that, “At least five or ten foreign universities are targeted to operate in the middle of this year.” The Minister singled out the University of Cambridge, University of Melbourne, and CQUniversity Australia as institutions that had already expressed interest. The Minister also indicated science, technology, engineering, mathematics, business and management as priority subject areas. Public pronouncements on this issue tend to be made cautiously in Indonesia, and any discussion of foreign unis setting up shop is always accompanied by two important qualifiers: the foreign institution will be expected to find a local private-sector partner and to prioritise the hiring of local faculty. All education institutions are also required to devote a portion of their curricula to teaching Indonesian culture, including religious and Islamic values. In addition, the government is generally clear that any invitation to operate in Indonesia will only be extended to top-ranked institutions. “We give the chance for foreign higher learning institutions, especially world-class universities, to operate in Indonesia," said the Minister.

Arguments for and against

But if Indonesia’s politicians have been cautious on this question, it has perhaps been with good reason as the prospect of opening up the country’s higher education system has provoked a lively debate. Proponents of the move argue that allowing foreign institutions to operate in Indonesia will not only boost local higher education capacity, but also encourage greater numbers of Indonesian students to study at home. Those in favour anticipate as well that highly ranked foreign providers will be an important spark for strengthening Indonesian institutions. Those opposed argue that local institutions, public and private, will struggle to compete with foreign providers and that the end result will be a hollowing out of the domestic system. With these questions still very much in play it seems likely that the government has set an overly ambitious schedule for the country’s first partnerships with foreign providers. This is especially so as observers outside of Indonesia wonder over the details about such partnerships, including the need for top foreign institutions to form up with local private-sector partnerships, the legislated restrictions on for-profit operations in the country’s education sector, and the requirements around Islamic cultural content. As of today, Minister Nasir has not yet followed up on his January press conference with a formal decree concerning foreign university operations in Indonesia. But the timing of any further announcements may also be influenced by the progress of ongoing Australia-Indonesia free trade negotiation, which are ongoing at the moment and in which foreign educator operations in Indonesia have figured to date. For additional background, please see:

Most Recent

  • UK’s stiffening compliance regime already having an impact on international student recruitment Read More
  • Search data highlights surge in student interest in Asian and Middle Eastern destinations at mid-year Read More
  • Australia raises enrolment limits for 2025/26 but are they reachable? Read More

Most Popular

  • Which countries will contribute the most to global student mobility in 2030? Read More
  • Research shows link between study abroad and poverty alleviation  Read More
  • Beyond the Big Four: How demand for study abroad is shifting to destinations in Asia and Europe Read More

Because you found this article interesting

UK’s stiffening compliance regime already having an impact on international student recruitment It would be fair to say that compliance is top of mind for international educators in the United...
Read more
Search data highlights surge in student interest in Asian and Middle Eastern destinations at mid-year Aggregated search data from Keystone Education Group reveals a distinct spike in student interest in destinations across the...
Read more
Australia raises enrolment limits for 2025/26 but are they reachable? A joint 4 August 2025 media release from the Ministers for Education, Home Affairs, Immigration and Citizenship, and...
Read more
US: International commencements could drop by 30-40% this September A new analysis from NAFSA and the research consultancy JB International projects that international student commencements in the...
Read more
Nearly 30 Canadian language programmes closed in Q1, marking the “sharpest decline in the sector’s history” The peak body for Canada’s language training sector is sounding the alarm. Languages Canada reports that more than...
Read more
Recruiting in Taiwan: An established student market adapting to demographic change Fast Facts Population: 23.4 million Youth population: 9.8% aged 15–24, but the population is ageing Youth unemployment rate:...
Read more
Australia’s central bank highlights importance of international students to national economy The Reserve Bank of Australia, the country’s central bank, has released a special bulletin on the economic impact...
Read more
Measuring the impacts of the first full year of Canada’s foreign student enrolment cap In January 2024, Canada’s immigration ministry (Immigration, Refugees and Citizenship Canada, or IRCC) announced a two-year cap on...
Read more
What are you looking for?
Quick Links