Mumbai: Today, a growing number of Indians are choosing to pursue higher education overseas. According to the Indian Student Mobility Report 2023, about 1,090,000 Indian students went abroad in 2019 to further their studies. This figure increased to 1,320,000 before the global pandemic hit, causing many students to return home or halt their education due to virus-related risks.
In 2024, more than 2 million Indian students are expected to migrate to countries like the US, UK, and Germany to pursue higher degrees. However, emerging destinations such as Ireland, Singapore, Russia, the Philippines, France, and New Zealand are also attracting Indian students seeking international education.
Top Destinations for Indian Students Abroad
Currently, Canada hosts the largest number of Indian students, with over 427,000 pursuing higher education. The US follows with around 337,630 students. Once the most popular destination for Indian students, the US has been overtaken by Canada in recent years due to Canada’s relaxed immigration policies, lower cost of living, and affordable housing options. Additionally, job opportunities are more abundant in Canada compared to the US.
Australia is home to the third-largest population of Indian students. Known for its low unemployment rates and high minimum wages, Australia continues to be a top choice for many Indians seeking better career prospects. Similarly, the UK remains a popular spot for over 185,000 Indian students, thanks to its reputation for high educational standards and part-time job opportunities.
In Germany, more than 42,997 Indian students are enrolled in top-tier universities. Germany’s tuition-free or low-cost education system, combined with its strong industrial base, makes it an appealing destination for Indian students.
Rising Investment in Education
The financial commitment to overseas education is higher than ever, with Indian families spending significantly more on education-related activities over the past decade. The growth in middle- and upper-middle-class income levels has made international education more accessible. As a result, many students now find it easier to fund their education abroad.
Additionally, banks and private lenders are offering student loans at low interest rates, reducing the financial burden on families. According to the Reserve Bank of India (RBI), expenditure on international education has increased from USD 2.46 billion in FY 2015 to USD 6.3 billion in 2024. By 2025, outbound Indian students are expected to spend approximately USD 70 billion on education.
Why Pursue Higher Education Abroad?
One of the primary reasons Indian students choose to study abroad is the quality of education. Indian universities often lag behind their international counterparts in terms of global rankings and academic standards. Even the top Indian institutes are ranked lower than the leading universities abroad.
Moreover, the Indian education system struggles with a lack of seriousness and high illiteracy rates. Many children from low-income families end up working in low-paying jobs instead of pursuing further education. In contrast, studying abroad offers better opportunities and higher returns on investment, especially in fields like technology and engineering, where Indian graduates often lack the required job skills.
Contribution to the Global Economy
International students contribute significantly to the economies of their host countries. In the UK, for example, international students pay up to three times more than local students. A recent study showed that the 2021-22 cohort of international students contributed USD 42.9 billion to the UK economy, compared to the USD 4.4 billion cost of hosting them. This highlights the economic benefits international students bring to their host countries.
Countries with ageing populations, such as Japan, China, and Singapore, rely on immigration, including student migration, to address workforce shortages and economic challenges.
As Indian student mobility continues to rise, more students are seeking education opportunities in countries like Canada, the US, the UK, and Australia. With increasing access to education loans and a higher demand for quality education, the trend of pursuing higher education abroad is set to grow.
In 2024, over 2 million Indian students are expected to pursue higher education abroad, drawn to countries like the US, UK, Canada, and Australia for quality education, better job prospects, and affordable living costs. Economy Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
