Enquiries from Indian students about studying in the United States have dropped by more than 46 per cent in the past year, while interest in Canada has fallen by around 75 per cent over two years, according to new data from IDP Education, an international education organisation.
Piyush Kumar, Regional Director for South Asia, Canada and Latin America at IDP Education, said political and economic developments have played a major role. “If we talk about the geopolitical situation, I think primarily it concerns the US and we have seen that in the last... 6 to 12 months, the situation has obviously impacted the plans of students who are planning to go to the US. It started actually before President Trump (came in), so we saw that after June onwards, we did see the visa approval rates go down,” said Kumar.
“Typically, what happens is that during the election year, every time we see that visa approval rates go down for whatever reasons. But after President Trump has come, I think he is planning, or there is a lot of noise about some changes which are going to happen, which obviously is acting as a dampener,” he added.
Canada loses ground
US Study Visa demand Fall: Kumar said enquiries for the US fell by 46.4 per cent in May 2025 compared with May 2024. Canada has seen an even sharper downturn. “In Canada, there have been a lot of changes in the last two years. It started when (former Canadian prime minister) Justin Trudeau and the Indian government got into a dispute. But over time, what has happened is that Canada has also been hit by the US tariffs and 80 per cent of Canadian exports are to the US, so they are very badly hit,” he said.
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Students are also deterred by tighter post-study work rules. “People think that this is not the right time to go to Canada because they have limited the post-study work right also to only six streams and that is where a lot of students think that if they go and study something else, there is no post-study work and they will have to come back,” said Kumar.
The Canadian government has said the restrictions will remain in place until 2027, after which the policy may be reviewed.
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Demand steady for UK and Australia
While the US and Canada struggle to maintain interest, the UK and Australia are proving resilient. “If you look at other destinations, big ones, which is the UK and Australia, by and large the demand remains intact, the number of students who are going is absolutely intact. Australia in fact formally announced that this year they are going to increase the number of students by 9 per cent over last year, so they are talking about managed growth,” said Kumar.
Focus shifting to career outcomes
Moreover, data from study abroad platform upGrad’s Transnational Education (TNE) Report 2024–25 also suggests a broader shift in thinking. The report, based on responses from over one lakh Indians, shows that students are now asking less about destinations and more about the returns of their degrees. “The focus has shifted from ‘Where can I go?’ to ‘What will this degree give me?’” the report said.
Applications to US universities fell 13 per cent year-on-year. By contrast, Germany and the UAE have seen sharp gains. Germany’s share of Indian interest rose from 13.2 per cent in 2022 to 32.6 per cent in 2024–25, overtaking both the US and Canada. The UAE, meanwhile, has become a key hub, with 42 per cent of its international student population now coming from India.
Who is going abroad
The upGrad survey shows demand is strongest among younger groups:
• 47 per cent were aged 20–24
• 27.3 per cent were 25–29
• 11.7 per cent were 15–19
• 8.6 per cent were 30–34
• 3.4 per cent were 35–39
Top contributing cities included Bengaluru, Hyderabad, Delhi, Mumbai, Pune, Chennai, Kolkata, Jaipur, Lucknow and Indore.
Germany emerges as frontrunner
According to upGrad, Germany has become the leading choice for Indian students thanks to low tuition fees, easier visa rules, and clear career pathways. The Federal Statistical Office of Germany said the number of Indian students rose from 49,500 in 2023 to nearly 60,000 in 2025.
Canada’s share, in comparison, has almost halved from 17.85 per cent to 9.3 per cent. The UK remains attractive but has seen an 11 per cent fall in student visas issued to Indians between June 2024 and June 2025, dropping from 110,000 to 98,000, according to the UK Home Office.
The US, which surged in 2023 to nearly 60 per cent, has fallen to 47 per cent in 2024–25. Analysts point to multiple factors: rising tuition fees, the weakening rupee, and renewed concerns about Trump-era visa restrictions returning.

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