A new report says foreign students studying in Hawaii are contributing hundreds of millions to the state’s economy.

The report released Tuesday by the state Department of Business, Economic Development and Tourism says foreign students made a direct economic impact of more than $205 million during the current school year.

Department Director Luis Salaveria says the report highlights the importance of international education to the state. He says Hawaii is facing increasing competition from mainland institutions for international students.

Results are based on the institutions that responded to a survey.

Of the total number of foreign students studying in Hawaii 31 percent are from Japan, 9 percent from South Korea, 8 percent from China, 6 percent from Switzerland and 4 percent from Taiwan.