Arab Open University

The AOU Cost of Living Index is constructed from a student consumer basket, tracking prices for rent, food, transport, and other living expenses in each city, based on the assumption of a moderate lifestyle and average consumption. By systematically monitoring these costs, the Arab Open University (AOU) acquires critical insight into the actual financial burdens faced by its student population, particularly by isolating and excluding the variable and often high cost of housing. This vital information is essential for university strategic planning, enabling the AOU to establish suitable tuition and fee structures, enhance student financial aid programs, and ensure its resources and services effectively support student well-being and educational affordability.

Analysis of the AOU -Cost of Living Data

The current data compiled by the AOU Cost of Living Index reveals significant variations across the region, underscoring the necessity of a localized approach to financial strategy. The following table illustrates the monthly cost of living (in USD) for a single person pursuing a moderate lifestyle, based on the consumer basket analysis:

AOU – Branch/ Campus

Cost of living- One person

Kuwait

$1,453

KSA

$1,266

Bahrain

$1,227

Lebanon

$1,127

Oman

$1,032

Palestine

$987

Jordan

$913

Sudan

$907

Egypt

$407

The data highlights a clear hierarchy of financial burden:

• Highest Cost Centers: Kuwait registers the highest monthly cost at $1,453, followed closely by KSA ($1,266) and Bahrain ($1,227). These figures suggest that students in the Gulf Cooperation Council (GCC) countries face the most substantial financial pressure, necessitating a rigorous review of AOU's financial assistance and service provision in these branches.
• Mid-Range Costs: Countries like Lebanon ($1,127), Oman ($1,032), Palestine ($987), Jordan ($913), and Sudan ($907) fall into a moderate category. While significantly lower than the GCC, these costs still demand significant attention, particularly in regions facing recent economic instability, where currency fluctuations could quickly inflate these dollar figures in local currency terms.
• Lowest Cost Centre: Egypt stands out with the lowest recorded cost of living at $407. This substantial difference suggests that while educational costs are generally lower, the AOU must be mindful of the economic factors driving this low cost, which may relate to currency devaluation or specific market subsidies, and ensure the quality of student life remains high despite the lower expenditure requirement.

In conclusion, the AOU Cost of Living Index is more than just a table of numbers; it is an active policy instrument that directly connects economic reality to academic strategy. By providing granular, location-specific data, the Arab Open University can fulfill its commitment to accessibility by optimizing its fee structures, maximizing the effectiveness of its financial aid, and ultimately ensuring that its resources and services are perfectly calibrated to support the overall well-being and educational affordability for every student, regardless of their location.