Dreams and reality in Bangladesh's higher education market

Private universities in Bangladesh create shiny brochures that promise great education, study abroad opportunities, and excellent jobs after graduation. These beautiful promises don't match reality when parents spend their life savings and borrow money against their homes to pay for their children's education. They buy their children a spot in university, hoping for the best. But after graduation ceremonies end and celebration photos are stored away, young people find themselves trapped between big dreams and harsh reality—a truth universities never mention in their fancy advertisements.

When investment meets reality: At average tuition costs of Tk0.6 million and median starting salaries of Tk 25,000, graduates need 24 months just to recover their educational investment-before accounting for living expenses, transportation, or professional development costs. This stark calculation reveals the financial burden families face when private university promises clash with market realities.

Tanbin, a 2022 computer science graduate from a prominent Dhaka-based private university, found work at a local software company, but only after months of intense self-preparation that he never received during his four-year programme. He skipped his graduation ceremony out of frustration. "Even the top private universities don't care enough to help graduates find industry jobs," he explained. Ariyan, who graduated in 2021 with a business degree, echoed similar concerns: "Private universities don't prepare you to face the real industry here in Bangladesh."

What the numbers reveal: This writer conducted a pilot study of 50 graduates from eight different Dhaka-based private universities, graduating between 2020-2023, revealing patterns that warrant broader investigation. While this sample represents initial findings rather than definitive conclusions, the patterns observed align with anecdotal evidence from career counsellors and industry observers across the sector.

The employment data tells a troubling story: About 48 per cent of respondents couldn't secure any formal employment within their first year after graduation. Of those who found work, entry-level salaries clustered in three distinct tiers: 40 per cent earned between Tk 15,000-20,000 monthly, 35 per cent received Tk 25,000-35,000, and only 25 per cent achieved salaries of Tk 45,000-60,000. The remaining graduates either started small businesses out of necessity or marked themselves as ‘freelancers’-a growing category that represents both opportunity and desperation in equal measure.

The financial reality check: Families invest between Tk 0.35 million and Tk 1.3million for their child's undergraduate education, with most spending around Tk 0.6 million on average. Parents use all this money, hoping their children will get good jobs. But with nearly half of graduates unable to find formal employment, this investment strategy creates devastating financial pressure. Parents who borrowed against property or depleted retirement savings find themselves questioning whether the sacrifice was worthwhile.

The mathematics are unforgiving: graduates earning Tk 25,000 need 24 months just to break even on tuition costs, assuming they save every penny. Factor in professional clothing, transportation, meals, and basic living expenses, and the recovery period extends to three or four years-if steady employment continues. For the 40 per cent earning below Tk 20,000 monthly, breaking even becomes nearly impossible without family support.

Several respondents remained ‘unemployed’ or worked as ‘freelancers’ two years post-graduation. These outcomes fall far short of recovering the substantial investments families made in private university education, creating a cycle of financial strain that affects entire households.

The science graduate preference: Most survey participants were science and engineering graduates, reflecting parents' belief that technical subjects offer safer career prospects than business programmes. Parents view engineering and computer science as secure choices with better social status and higher earning potential. This preference drives families toward STEM fields, believing these degrees provide more reliable returns on educational investment.

However, these ‘safe’ choices aren't proving as secure as parents anticipated. Market saturation in popular fields like computer science and electrical engineering means too many graduates compete for limited positions. Science graduates often end up completely changing careers, spending additional money to pursue opportunities abroad, or remaining underemployed at home despite their technical qualifications.

The freelance alternative: Freelancing has emerged as both survival strategy and career choice among private university graduates. In a country where formal employment once defined professional success, graduates now openly identify themselves as freelancers without stigma. This shift represents how young Bangladeshis are redefining career success in an economy that cannot generate sufficient formal positions for its educated workforce.

This isn't merely a trend toward gig economy participation-it's adaptation to systemic underemployment. The rise of freelancing reflects both entrepreneurial spirit and economic necessity, as graduates create income streams that traditional employment markets cannot provide.

The investment return problem: The education sector reveals a fundamental mismatch between investment expectations and actual outcomes. Graduates typically require 12 to 18 months of active job searching before securing positions with adequate compensation. During this period, families continue supporting their children while hoping for returns that may never materialise at expected levels.

This creates what economists recognise as ‘degree inflation’-an educated workforce competing for positions that may not exist in sufficient numbers. Families continue investing because the alternative-not pursuing higher education-appears even riskier in Bangladesh's competitive job market.

Pathways forward: These preliminary findings suggest several necessary interventions. Students must develop practical skills, professional networks, and industry perspectives beyond formal curricula requirements. Private universities need fundamental reforms to align educational delivery with employment market demands.

Universities should implement mandatory six-month industry placements, establish skills-based hiring partnerships with major employers, and require annual employment outcome reporting for transparency. Academic programmes without clear career pathways should be discontinued or restructured to focus on market-relevant skills development.

Industry experts must collaborate with universities to ensure curriculum relevance, while University Grants Commission should mandate strict financial oversight to reduce unnecessary institutional expenses that inflate tuition costs without improving educational quality.

The urgent need for change: The gap between private university marketing promises and graduate employment realities demands immediate systemic intervention. While families continue investing in education hoping for better futures, current institutional structures fail to deliver adequate returns on these substantial investments.

Without comprehensive reform involving curriculum updates, industry collaboration, and regulatory accountability, Bangladesh risks creating a generation of over-qualified, under-employed graduates whose families sacrificed financial security for degrees that cannot guarantee promised economic mobility. This educational crisis requires coordinated action before more families fall victim to the private university paradox.

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