In a historic vote last week, the Greek parliament abolished the ban, paving the way for private universities.
Article 16 (5) of the Greek constitution previously prohibited the establishment of private universities. The state-guaranteed monopoly of public universities was a unique feature of Greece as no other Western country has a comparable ban on private higher education institutions.
The vote now changes this approach.
Greece is considered one of the most important tourist destinations. Due to its geographical characteristics, there is hardly any agriculture in Greece, as 80% of its area consists of high mountain ranges.
It will be interesting to see how the liberalization of the university market can provide a new source of income and transfer Greece from a source market into a destination for foreign students.
The change in the legal framework represents a 180-degree turnaround in Greek higher education policy and has already triggered a wave of protests in the country. The liberalization of the higher education market seems to be an irreversible step if we look at global developments. In my opinion, Greece is taking the right step.
Greek Students Abroad
Due to its history in the 20th century, Greece has become an important source market for British and Anglo-Saxon universities. Traditionally, most Greek students went to the UK to study. The study “International Facts and Figures 2021” showed that 9,645 Greeks studied at British universities in 2019-20, with Greece ranking 12th on the relevant table. This number has decreased after Brexit – and the abolition of student finance by the UK government.
Nevertheless, the number of Greek students abroad is too high in the eyes of the Greek government. According to UNSECO, over 40,000 Greeks are studying abroad. They bring valuable foreign currency out of the country and thus boost the economies of the host countries. In addition to the economic consequences, the government also wants to limit the “brain drain” from Greece. The declared aim of the government in Athens is to keep most of these students at home so that they prefer to spend their money in Greece.
