2025: Germany, Ireland, UAE draw Indian students as Big Four toughen entry

Stricter student and immigration rules across the US, UK, Canada and Australia in 2025 reshaped Indian study-abroad choices, boosting interest in Germany, Ireland, France and the UAE

The year 2025 brought a sharp shift in how Indian students approached education abroad. Stricter rules across the Big Four — the United States, the United Kingdom, Canada and Australia, created friction for many families, while countries such as Germany, France, Ireland and the United Arab Emirates saw a steady rise in interest.

 

Why did students begin exploring Germany, Ireland and the UAE? 

Over the past year, affordability, clearer career routes and predictable visa systems shaped many choices.

 

“Over the past year, Indian students have increasingly explored destinations such as Germany, Ireland and especially the UAE because these countries offer greater affordability, clearer career pathways and more predictable visa policies compared to traditional markets. Germany’s low tuition fees and Ireland’s strong tech ecosystem remain attractive, yet the UAE has seen the sharpest rise in interest,” said Dr Christopher Abraham, CEO and Head – Dubai Campus at SP Jain School of Global Management.

 

 

He added, “Uncertain or frequently changing immigration rules in countries like the US, UK and Canada have prompted students to explore destinations where the post-study environment feels more secure.”

 

Ritika Gupta, CEO and Counsellor at AAera Consultants, shared a similar view. “While Indians traditionally looked to North America and Australia for furthering their education abroad, that is quickly changing,” said Gupta.

 

What made the US, UK, Canada and Australia less appealing in 2025? 

US: Screening changes and longer processing times

  In the United States, the Department of State paused new student and exchange-visitor visa interviews between May and June while it rolled out enhanced screening steps. Once interviews resumed, applicants faced extra checks, including mandatory review of social media activity. Indian applicants reported longer queues, more grilling at interviews and more refusals.

 

UK: Tight rules on dependants and rising costs 

In the United Kingdom, the 2025 immigration reforms introduced under Prime Minister Keir Starmer brought higher income thresholds and new limits on post-study routes. Most students on taught courses can no longer bring dependants; only those enrolled in PhD or fully funded research programmes remain eligible. Higher visa application fees added further pressure for many families.

 

Canada: A cap on study permits and narrower post-study rights 

Canada’s Immigration, Refugees and Citizenship Canada applied a nationwide cap on new study permits for 2025, reducing intake across levels. The cap now covers graduate courses as well. Post-graduation work permit rules were tightened, shutting out many non-degree or short diploma programmes. Switching institutions or programmes now requires a fresh permit, cutting the flexibility students once relied on.

 

Australia: Annual caps, higher visa fees and strict college checks 

Australia introduced a cap on new international student commencements for 2025. Visa fees also went up. Authorities carried out more checks on education providers after a clean-up of “ghost colleges” and weak institutions. Only colleges meeting stricter criteria can enrol foreign students. Several of these measures also altered post-study and migration routes, especially for those in non-degree or vocational programmes.

 

“Students from India are looking to find more stable countries in which to meet their educational needs and obtain employment faster,” said Gupta.

 

Where is the shift most visible within India?

  Gupta said the strongest movement is coming from smaller cities.

 

“Currently, a major shift is taking place within Tier II and III cities, where potential learners are more concerned about how much they will pay for tuition, what potential educational pathways will be available, and if there will be any earnings expectations upon returning home. The states of Punjab, Haryana, Andhra Pradesh, Telangana, Gujarat, and parts of Maharashtra are experiencing a trend away from the traditional markets of the US, UK, Canada and Australia toward Germany, Ireland, the UAE, Italy and Eastern Europe. Education loans or family savings are the financial resources available to students from these regions, and therefore, they tend to look for destinations that have lower tuition fees, offer shorter degree durations and have predictable post-graduation work opportunities. Although the Tier One cities are still focused on the traditional cluster, the non-metropolitan markets are leaning more towards an ROI mindset,” said Gupta.

 

What might 2026 look like for global student mobility?

  Mamta Shekhawat, founder of Gradding, said students are thinking far more strategically now.

 

“International student choices have become increasingly strategic, informed by a blend of ambition, migration policy and economic signalling. Prestige remains an anchor motivator for students targeting elite institutions with strong global reputations. But for many, in a climate of shifting visa regulations and geopolitical uncertainty, post-study work opportunities and long-term residency potential now assume an even more decisive role. Prestige might attract the initial enquiry, but work and residency outcomes often close the decision loop,” said Shekhawat.

 

She noted that the Big Four continue to draw students who want to work in fields linked to technology and science.

 

“Students identify these countries as hubs for AI, cybersecurity, engineering, biotech and data science, those programmes that are highly employable and have mapped routes to work visas. Countries that can connect STEM education with skilled migration pathways are capturing the fastest-growing segments of students,” she said.

 

Shekhawat added, “Overall, student choice has become more risk-managed, outcome-oriented, globally agile, with work prospects and migration policy central to the decision calculus.”

 

Which course clusters are picking up momentum for 2026?

  Rahul Subramaniam, MD and Co-founder of Athena Education, said interest in AI is growing rapidly.

 

“AI-related fields have seen a strong level of interest. Just recently, Google released Gemini 3, which not only demonstrates PhD-level reasoning, but also performs far better than previous AI models at ‘Humanity’s Last Exam’, widely understood as the popular benchmark of human-like problem-solving for LLMs. The technological progress made in the last decade will be surpassed in the coming few years,” said Subramaniam.

 

He pointed to institutions such as Stanford, the University of Pennsylvania and Carnegie Mellon, which offer cutting-edge AI degrees and strong research ecosystems. Courses such as Johns Hopkins’ Biomedical Engineering and Penn’s Management and Technology have also drawn interest.

 

“Seeing that admission to these courses is highly competitive, we are seeing students investing much greater energy and effort into developing both technical and personal qualities through extracurricular activities. AI is deeply integrated into Athena’s educational programme, over the past year, our scholars have completed more than a hundred sophisticated AI projects. Many of our students are exploring the intersections of AI with history, anthropology and filmmaking,” he said.

 

How is ROI shaping family decisions?

 

Ankit Mehra, Co-founder and CEO of GyanDhan, said families are asking sharper questions.

 

“Students have become far more ROI-driven in choosing both the country and course. The days of picking a destination purely for its prestige are waning. Instead, families are asking: Does the cost of this education justify the outcome? This shift is clear in enrolment patterns. According to our GyanDhan Study Abroad report, the share of students choosing the US dropped from 54% in 2023 to just 20% in 2025, confirmed by the recent Open Doors report. Many of our students are deferring US plans or opting for Europe, citing uncertain visas and high debt as risks,” said Mehra.

 

Subramaniam noted that top institutions continue to lead. “The market still clearly indicates that for students seeking the best education and post-graduation opportunities, and thus return on their investment, the top universities in the US and UK remain the most popular destinations,” he said.

 

How are families preparing financially?

 

Mehra said families are planning ahead with tighter financial checks.

 

“Families are planning ahead with far greater financial discipline. Proof-of-funds requirements, the real cost of living and currency volatility are now central to every discussion. Parents want destinations where PoF norms are straightforward, living expenses are stable, and long-term financial risk is manageable. Safety has also become a major deciding factor,” said Mehra.

 

How is India’s overseas student footprint expanding?

 

Around 780,000 Indian students are currently studying overseas. The OECD International Migration Outlook 2025 shows Indian students present in more OECD countries than ever before, suggesting growing confidence and adaptability.

 

As the Big Four continue to tighten entry rules, several mid-sized and emerging destinations are stepping in to attract global talent and strengthen their own higher-education sectors.