Sunday Times (Sri Lanka)

Despite rapid growth, a handful of high-profile bankruptci­es and financial problems have hit the private sector in recent years. “People don’t do it for fun,” said Ms Lees. Extensive market research on student demand is normally carried out before new ins

- - David.M

2019, a report from the German Academic Exchange Service.

When students first arrive at SRH, teaching groups are small enough that academics can take them out together for a drink, Bert Eichhorn, vice- president of internatio­nal affairs at SRH, told Times Higher Education during a visit to the campus. At public universiti­es, meanwhile, packed lecture halls and uncontacta­ble professors with hundreds of students have become a cliché – fair or not.

Because private universiti­es are “much smaller”, the “professor-student relationsh­ip is better than in public universiti­es”, said Ms Frank. Dropout rates tend to be much lower, she added.

Another reason for private universiti­es’ expansion is that they have been “very smart” at carving out “niche” courses that public universiti­es simply do not offer, she explained.

One such example is Hamburg’s Kühne Log i s t i c s University, explained Piret Lees, a spokeswoma­n for Germany’s Associatio­n of Private Universiti­es. The university was started by the eponymous logistics giant because no other institutio­n was offering sufficient­ly specialise­d courses.

But claims that private universiti­es have better links with employers are arguably a “myth”, said Ms Frank: survey data show that companies like to recruit from both public and private institutio­ns. “It’s marketing,” she said.

How much does all this cost? There are no recent figures on average private fees in Germany, and Ms Lees stressed that costs vary widely depending on course and location. Like UK universiti­es, SRH Berlin charges more for students outside the EU – 10,800 (£9,559) per year for an engineerin­g master’s – than for EU students, who pay 9,360.

One reason it is possible to charge non-EU students more is that outside Europe private universiti­es are synonymous with good quality, an idea less familiar to Europeans, said Professor Eichhorn.

Students are often able to get special loans – sometimes offered by the universiti­es themselves – that they pay back with a fixed percentage of their post-graduation income above a certain threshold, explained Ms Lees.

Despite rapid growth, a handful of high-profile bankruptci­es and financial problems have hit the private sector in recent years. “People don’t do it for fun,” said Ms Lees. Extensive market research on student demand is normally carried out before new institutio­ns are set up.

The majority of private universiti­es are non-profit, according to Ms Frank’s most recent analysis. With more than 1,000 students, private universiti­es are typically financiall­y viable, she estimated, although if they want to do serious research as well as teaching, they need the backing of a foundation behind them.

Yet for all their success, some observers feel that private universiti­es might be losing their edge, as public universiti­es catch up in offering flexible continuous education to people already in work, said Ms Frank. “Some of the USPs they had in 2010 are not so strong anymore,” she said.

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