Students Struggle as Lebanon Crisis Cripples University Sector

A university student takes a course via remote learning at home in Beirut, but staying connected during state power cuts that can last more than 20 hours a day comes with a financial cost ANWAR AMRO AFP
A university student takes a course via remote learning at home in Beirut, but staying connected during state power cuts that can last more than 20 hours a day comes with a financial cost ANWAR AMRO AFP
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Students Struggle as Lebanon Crisis Cripples University Sector

A university student takes a course via remote learning at home in Beirut, but staying connected during state power cuts that can last more than 20 hours a day comes with a financial cost ANWAR AMRO AFP
A university student takes a course via remote learning at home in Beirut, but staying connected during state power cuts that can last more than 20 hours a day comes with a financial cost ANWAR AMRO AFP

Power shortages and soaring petrol prices mean many Lebanese university students can neither afford to reach their classes nor study from home, a conundrum that is ravaging a generation's future.

Agnes, a 22-year-old dentistry student from south Lebanon, is among the few still plodding to class in Beirut four days a week.

The five hours she spends on a bus daily now costs her 1.3 million Lebanese pounds a month -- "that's half of my father's salary", she said.

Such expenses are now beyond the reach of most Lebanese students, with their country in the throes of a financial, political and health crisis that has ravaged its economy.

The national currency has lost more than 95 percent of its value on the black market, and the minimum wage of 675,000 pounds is worth little more than $20, which barely pays for a full tank of petrol.

Transport "is becoming more expensive than my semester's tuition fees", according to AFP, Tarek, a 25-year-old student at the Islamic University of Lebanon who, like the others interviewed, declined to give a family name.

As a result, and also because teachers face similar difficulties, many universities continue to offer online classes.

But staying connected during state power cuts that often last more than 20 hours a day also comes at a cost.

Amina, 22, a student at the public Lebanese University, said she has reverted to doing most of her work from books due to the lack of electricity at home.

There are "about 75 students in the class, of whom a maximum of five" can attend online, she said, adding that she needed to study around nine hours a day in order not to fall behind.

To keep laptops and modems running, families have to pay for expensive private generators, but that option too is unaffordable for many.

Some students are spending their money on mobile phone data so they can connect their computers to an internet hotspot.

The spaghetti wiring connecting laptops, routers and phone chargers to all manner of back-up devices -- from commercial uninterruptible power supplies to homemade contraptions using car batteries -- means study areas now often look like the back of an IT workshop.

"All of this is additional cost," said 22-year-old Ghassan, a student at the Sagesse University.

Several institutions have set up special student funds in an attempt to maintain enrolment levels, said Jean-Noel Baleo, Middle East director of the Francophone University Agency -- a network of French-speaking institutions.

"Some universities are keeping students who cannot pay, which is a form of hidden bursary," he told AFP.

But he said such Band-Aid fixes were barely slowing the decline of a higher education system that was once a source of national pride, and whose multilingual graduates flooded the region's elites.

"It's a collapse we're talking about, and there's more bad news on the way," said Baleo, who predicted the definitive closure of some universities and an intensifying brain drain.

Education Minister Abbas Halabi admitted he was largely powerless to stem the sector's crisis.

"I tried to secure subsidies for the Lebanese University from foreign donors but at this stage they have not replied positively," he told AFP.

"The Lebanese state does not have the means."

Even as the financial meltdown threatens several pillars of the country's education system, Lebanon's political elite -- widely blamed for collapse -- have resisted reforms that would open the way for international assistance, and the cabinet has not met in three months.

"Today, the easiest option is to set up online classes, even if that remains a difficult option. Rising transport costs make it the least-worst fix," Baleo said.

In the meantime, students like Tarek say the crisis is turning university life into an ordeal.

"It's exhausting and depressing," he said.

"I am considering quitting university... The wages are so bad that you're not even motivated to graduate to find a job," he said.

Student Ghassan said he only wanted to graduate so it could help him leave the country.

"All the youth want to leave because there's no clear future here," he said.



Borderless Europe Fights Brain Drain as Talent Heads North

Eszter Czovek, 45, packs up her house as she moves to Austria, in Budapest, Hungary, October 28, 2024. REUTERS/Bernadett Szabo
Eszter Czovek, 45, packs up her house as she moves to Austria, in Budapest, Hungary, October 28, 2024. REUTERS/Bernadett Szabo
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Borderless Europe Fights Brain Drain as Talent Heads North

Eszter Czovek, 45, packs up her house as she moves to Austria, in Budapest, Hungary, October 28, 2024. REUTERS/Bernadett Szabo
Eszter Czovek, 45, packs up her house as she moves to Austria, in Budapest, Hungary, October 28, 2024. REUTERS/Bernadett Szabo

Until recently aerospace engineer Pedro Monteiro figured he'd join many of his peers moving from Portugal to its richer European neighbors in the quest for a better-paid job once he completes his master's degree in Lisbon.
But tax breaks proposed by Portugal's government for young workers - up to a temporary 100% income tax exemption in some cases - plus help with housing are making him think twice.
"Previous governments left young people behind," said Monteiro, 23, who is studying engineering and industrial management at the Higher Technical Institute in the Portuguese capital. "The country needs us and we want to stay but we need to see signs from the government that they are implementing policies that will help."
Monteiro cites in particular the cost of buying or renting a home amid a housing crisis aggravated by the arrival of wealthy foreigners lured by easy residency rights and tax breaks, Reuters said.
He is doubtful the government's new measures will be enough.
"Some of my friends are now working abroad and earn substantially more money... and have better career development opportunities," he said. "I'm a little bit skeptical concerning my job opportunities here in Portugal."
Portugal is the latest country in Europe to seek to tackle a brain drain holding back its economy. Tax breaks for young workers in the budget currently going through parliament will take effect next year and could benefit as many as 400,000 young people at an annual cost of 525 million euros.
Talent flight to wealthier countries of the north is a problem Portugal shares with several others in southern and central Europe, as workers take advantage of freedom of movement rules within the trade bloc. Countries including Italy have tried other schemes to counter the flight, with mixed results.
By exacerbating regional labor shortages and depriving poorer countries of tax revenues, it is yet another hurdle for the EU as it tries to improve its ebbing economic growth while addressing population decline and lagging labor productivity.
Donald Trump's victory in US elections this month raises the stakes, with the risk of across-the-board trade tariffs on European exports of at least 10% - a move that economists say could turn Europe's anaemic growth into outright recession.
About 2.3 million people born in Portugal, or 23% of its population, currently live abroad, according to Portugal's Emigration Observatory. That includes 850,000 Portuguese nationals aged 15-39, or about 30% of young Portuguese and 12.6% of its working-age population.
More concerning still is that about 40% of 50,000 people who graduate from universities or technical colleges emigrate each year, according to a study by Business Roundtable Portugal and Deloitte based on official statistics, costing Portugal billions of euros in lost income tax revenue and social security contributions.
DEMOGRAPHIC HELL
"This is not a country for young people," said Pedro Ginjeira do Nascimento, executive director of Business Roundtable Portugal, which represents 43 of the largest companies in the nation of 10 million people. "Portugal is experiencing a true demographic hell because the country is unable to create conditions to retain and attract young talent."
Internal migration within the EU is partly driven by the disparity in wages between its member states. Some economic migrants also say they are looking for better benefits such as pensions and healthcare and less rigid, hierarchichal structures that give more responsibility to those in junior roles.
Concerns are mounting over the long-term viability of Europe's economic model with its rapidly ageing population and failure to win substantial shares of high-growth markets of the future, from tech to renewable energy.
Presenting a raft of reform proposals aimed at boosting local innovation and investment, former European Central Bank chief Mario Draghi said in September the region faced a "slow agony" of decline if it did not compete more effectively.
Eszter Czovek, 45, and her husband are moving from Hungary to Austria, where workers earn an average 40.9 euros ($29.95) per hour compared to 12.8 euros per hour in Hungary, the largest wage gap between neighboring countries in the EU.
The number of Hungarians living in Austria increased to 107,264 by the beginning of 2024 from just 14,151 when Hungary joined the EU.
Czovek's husband, who works in construction, was offered a job in Austria, while she has worked in media and accounting at various multinationals. She cited better pay, pensions, work conditions and healthcare as motives for moving. She also mentioned her concern over the political situation in Hungary, which she fears might join Britain in leaving the EU.
"There was a change of regime here in 1989 and 30 years later we are still waiting for the miracle that will see us catch up with Austria," Czovek said of the revolution over three decades ago that ended communist rule in Hungary.
Since Brexit, the Netherlands has replaced Britain as a preferred destination for Portuguese talent while Germany and Scandinavian countries are also popular.
Many Europeans still head to the United States in search of better jobs - about 4.7 million were living there in 2022, according to the Washington-based Migration Policy Institute, which nonetheless notes a long-term decline since the 1960s.
In 2023, 4,892 Portuguese emigrated to the Netherlands, surpassing Britain for the first time, which in 2019 received 24,500 Portuguese.
At home, they face the eighth-highest tax burden in the Organization for Economic Co-operation and Development (OECD) even as house prices rose 186% and rents by 94% since 2015, according to property specialists Confidencial Imobiliario.
A single person in Portugal without children earned an average of 16,943 euros after tax in 2023 compared to 45,429 euros in the Netherlands, according to Eurostat.
Portugal will offer under 35s earning up to 28,000 euros a year a 100% tax exemption during their first year of work, gradually reducing the benefit to a 25% deduction between the eighth and tenth years.
Young people would also be exempted from transaction taxes and stamp duty when buying their first home as well as access to loans guaranteed by the state and rent subsidies.
"We are designing a solid package that tries to solve the main reasons why the young leave," Cabinet Minister Antonio Leitao Amaro said in an interview with Reuters.
'THINGS WON'T CHANGE'
Leitao Amaro said he did not know for sure if the tax breaks would work but that his government, which came into office in April, had to try something new.
"If we don't act ambitiously, things won't change and Portugal will continue down this path," he said.
The Italian government has already found that tax breaks used as incentives are costly and open to fraud.
In January, Italy abruptly curtailed its own scheme that was costing 1.3 billion euros in lost tax revenue, even as it lured tech workers such as Alessandra Mariani back home.
Before 2024, returners were offered a 70% tax break for five years, extendable for another five years in certain circumstances. Now, it plans to offer a slimmed-down scheme targeting specific skills after it attracted only 1,200 teachers or researchers - areas where Italy has a particular shortage.
Mariani said the incentives were key to persuading her to return to Milan in 2021 by allowing her to maintain the same standard of living she enjoyed in London.
"Had the opportunity been the same without the scheme, I would not have done it at all," said Mariani, now working at the Italian arm of the same large tech company.
With her tax breaks poised to be phased out by 2026 unless she buys a house or has a child, Mariani faces a drop in salary and she said she's once again eyeing the exit door.