International schools in Thailand are experiencing sustained growth despite a nationwide decline in student numbers, driven by falling birth rates, according to a report by the Kasikorn Research Center. The research attributes this expansion to the increasing demand for foreign curricula and the growing number of parents with the financial means to invest in their children’s education.
While the total number of students in Thailand has decreased by 1.7% in 2024 compared to the previous year, international schools have seen a 10.2% rise in student enrollment. This trend starkly contrasts with the broader educational landscape, where student numbers have been steadily declining in line with a lower birth rate. Between 2012 and 2024, the average annual birth rate dropped by 4.5%, and the overall student population in Thailand shrank by 0.9% per year. Meanwhile, international schools have grown at an average rate of 6.9% annually during the same period.
Several factors contribute to the rise of international schools in Thailand. One significant factor is the influx of foreign students, which aligns with the steady increase in foreign executives working in Thailand. Over the past decade, this group has grown by an average of 0.6% per year. Additionally, the appeal of foreign education systems, which are often perceived as more dynamic and modern than their Thai counterparts, has played a major role. The growing wealth of Thai parents has also supported this trend. It is projected that the number of individuals in Thailand with assets exceeding $1 million will increase by 24% between 2023 and 2028.
In contrast to the growth in international schools, the overall number of schools in Thailand continues to decline. As of 2024, there are 33,098 schools nationwide, representing a 0.5% drop from the previous year and a 6.6% contraction compared to the 2012 academic year. Both public and private schools following the Thai curriculum have seen consistent decreases, with government schools experiencing an average annual decline of 0.6% and private schools shrinking by 0.7% per year.
However, international schools have shown resilience, with an average annual growth rate of 5.0%. This growth is increasingly occurring outside of Bangkok, with major cities such as Chiang Mai, Rayong, and Phuket becoming new focal points for school operators. Between 2012 and 2024, the growth rate of students and international schools in regions outside of Bangkok outpaced the capital, with 4.3% and 6.3% growth respectively.
The expansion of international schools into these regions is largely driven by the economic growth in major cities. In 2022, the GDP per capita in 21 major cities surpassed that of Bangkok by 2%, further enhancing the appeal of these markets. The central and eastern regions of Thailand, in particular, are expected to be lucrative areas for international schools, as they host the second-highest number of households earning over 100,000 baht ($2,960) per month.
Despite this growth, operators may need to adjust their tuition fees to match regional income levels. The international school market in Thailand is projected to grow by 13% in 2024, reaching a value of 87 billion baht ($2.5 billion). This expansion is driven by a 10.2% increase in student numbers and a 3.8% rise in tuition fees compared to 2023.
However, rising tuition fees present a potential risk. As the cost of international schools increases, some parents may opt to send their children abroad for education, particularly as the price gap between local and overseas schooling narrows. For example, the average annual tuition fee for international schools in Thailand is 764,484 baht ($22,655), while in New Zealand, it is 1,150,208 baht ($34,085) for boarding schools.
Additionally, international schools face competition from improving private Thai curriculum schools, which offer high-quality education at lower costs. Many of these schools provide English language programs and teach additional languages, such as Chinese, posing a challenge to international schools’ language-based advantages. Technological advancements and the rise of homeschooling also present a growing alternative, as the cost of homeschooling is significantly lower than international school fees. For instance, completing the GED (U.S. high school equivalency) exam with 100 hours of tutoring costs approximately 160,800 baht ($4,765).
The market outlook for international schools remains positive, but challenges such as rising costs, increased competition, and alternative educational options must be addressed to sustain long-term growth.
