Abstract: The subject of the study is the dropout rate in higher education. The number of students who were enrolled and did not graduate from educational institutions is analysed with the goal to increase the number of graduates when number of educational institutions and students is not subject to change. An empirical method is used: documents and expert opinions are studied. Method of obtaining information: open statistical databases and relevant analytical studies. The methodology of the OECD in compiling statistical databases and the levels of education in Russia are considered. The differences between «tertiary» and «higher education» are highlighted. The position of Russia in terms of the level of literacy of the population among the OECD countries is considered: a modest indicator of the level of «higher education» of the population of Russia is noted amid a high indicator of «tertiary education». The importance of reducing the dropout rate in the context of a direct correlation between the level of «higher education» and the development of a country and society is emphasized. Main reasons for dropping out of educational institutions are considered. The novelty lies in providing the definition of the dropout rate in higher education and its target indicators. The importance of using the term «dropout» in official sources and tightening the criteria indicators used for the purpose of accreditation monitoring is substantiated. The result of the study is the proposals intended to achieve the above designated goal: to provide detailed and additional information to the applicants, to increase the flexibility of curricula and educational programs, to design and aware the target audience of the affordable educational loans etc. In conclusion the importance of further research into the dropout rate to increase the level of higher education is stated.