US Green Card crunch deepens: EB-1 moves back, EB-2, EB-5 shut for Indians

The July 2026 US Visa Bulletin brings fresh setback for some Indian employment-based green card applicants while offering modest relief to others. EB-1 India has moved backward.

The July 2026 US Visa Bulletin has brought a mixed bag of developments for Indian professionals waiting for employment-based green cards.

 

While some categories have seen modest advancement, the overall picture remains challenging. The biggest developments are the retrogression of the Employment-Based First Preference (EB-1) category for India, the temporary unavailability of the Employment-Based Second Preference (EB-2) category for Indian applicants, and USCIS's decision to continue using the stricter Final Action Dates chart for employment-based adjustment-of-status filings.

 

For thousands of Indians on H-1B visas and their families, these changes will directly affect when they can obtain permanent residency in the United States.

 

First, what is the Visa Bulletin?

 

Every month, the US Department of State publishes a Visa Bulletin that determines when green card applicants can move forward in the immigration process.

 

The bulletin contains two important charts:

 

• Dates for Filing: Determines when applicants can submit adjustment-of-status applications.
• Final Action Dates: Determines when USCIS can actually approve a green card application.

 

For July 2026, USCIS has decided that employment-based applicants must use the Final Action Dates chart, which is generally more restrictive than the Dates for Filing chart.

 

What happened to EB-1 India?

 

The biggest disappointment for many highly skilled Indian professionals is the retrogression in the EB-1 category.

 

EB-1 is typically used by:

 

• Multinational executives and managers

•  

 

Outstanding professors and researchers

 

Individuals with extraordinary ability

 

Due to heavy demand and high visa usage, the Final Action Date for EB-1 India has moved backward, meaning some applicants who were close to approval may now have to wait longer before their green cards can be issued. The retrogression follows similar pressure seen in recent months as annual visa limits come under strain.

 

The bigger shock: EB-2 India is now unavailable

 

The most significant change affects the EB-2 category.

 

EB-2 generally covers:

 

• Professionals with advanced degrees
• Applicants with exceptional ability
• Many National Interest Waiver (NIW) candidates

 

For July 2026, EB-2 India has been declared unavailable for the remainder of the fiscal year. This means USCIS cannot issue additional green cards under this category until fresh visa numbers become available in the next fiscal year beginning October 1, 2026.

 

In practical terms, even applicants with approved petitions may not receive final approval until the new fiscal year opens.

 

Is there any good news?

 

Yes.

 

According to immigration law firm Fragomen, most other employment-based categories have either advanced or remained stable. Certain EB-3 categories continue to show modest forward movement compared with the severe pressure seen in EB-1 and EB-2.

 

For some Indian applicants, EB-3 may continue to be a viable alternative, particularly where employers can support category conversions.

 

Why is this happening?

 

The answer is simple: demand is exceeding supply.

 

US employment-based green cards are subject to:

 

• Annual numerical caps
• Per-country limits
• Category-specific allocations

 

India has one of the largest pools of employment-based green card applicants, largely because of the high number of Indian professionals working in the US on H-1B visas.

 

When visa demand exceeds the available quota, the State Department moves cutoff dates backward—a process known as retrogression—or temporarily declares a category unavailable.

 

"The July Visa Bulletin notes that, as anticipated in recent Visa Bulletins, the July Final Action Dates for the EB-1 India category have been retrogressed due to increased demand and immigrant visa usage. The State Department warns that further retrogression or unavailability may be necessary before the fiscal year ends on September 30, 2026.

 

The State Department also notes that demand and increased immigrant visa number use may make it necessary to retrogress or make unavailable the EB-2 China and EB-3 Philippines categories in the coming months.

 

The Bulletin also contains a general reminder that visa categories may become unavailable prior to the end of the fiscal year. In recent weeks, the State Department has made the EB-2 India and EB-5 India categories unavailable for the remainder of the fiscal year, which ends on September 30, 2026. Further categories may follow," Fragomen explained in a post.

 

What does USCIS using Final Action Dates mean?

 

This is an important operational issue.

 

When USCIS uses the Final Action Dates chart:

 

• Fewer applicants become eligible to file adjustment-of-status applications.
• Fewer people can obtain associated benefits such as employment authorization documents (EADs) and advance parole through new filings.
• The pool of applicants moving through the system shrinks temporarily.

 

For many applicants, this means additional waiting even if their priority dates are approaching eligibility.

 

What should Indian applicants do now?

 

Immigration lawyers generally recommend:

 

If you are in EB-1

 

Monitor future Visa Bulletins closely. Retrogressions can sometimes reverse when a new fiscal year begins and fresh visa numbers become available.

 

If you are in EB-2

 

Expect delays until at least October 2026, when the new fiscal year's visa allocation becomes available. Applicants should ensure documentation remains current and maintain valid non-immigrant status where required.

 

If you qualify for EB-3

 

Review whether a category downgrade or alternative filing strategy may be appropriate. In some periods, EB-3 progresses faster than EB-2 for Indian applicants.

 

If your adjustment application is already pending

 

The retrogression generally does not invalidate an already-filed I-485 application, although final approval may be delayed until the priority date becomes current again.

 

What does this mean for Indian H-1B holders?

 

The July bulletin highlights a broader reality: employment-based immigration backlogs for Indians remain among the longest in the US immigration system.

 

Even highly skilled professionals with approved employer sponsorship often face waits stretching many years because of per-country quotas and annual caps.

 

Key points to note: 

• In July, the Final Action Date for EB-1 India will retrogress by two months, while the EB-3 India Final Action Date will advance by two weeks.
• The Final Action Date for EB-3 China will advance by almost five months.
• Most other employment-based Final Action Dates will move forward or remain the same.
• EB-2 India and EB-5 India will remain unavailable for the remainder of the fiscal year.
• USCIS will accept employment-based adjustment of status applications from foreign nationals with a priority date that is earlier than the Final Action dates listed in the State Department’s July Visa Bulletin.

A third setback: EB-5 investor green cards have also run out for Indians

 

The July Visa Bulletin isn't just bad news for highly skilled professionals waiting in the EB-1 and EB-2 categories. It has also created challenges for wealthy Indian investors pursuing US permanent residency through the EB-5 programme.

 

According to the US Department of State and immigration law firms BAL and Fragomen, the annual quota for EB-5 Unreserved visas for Indian nationals has now been fully exhausted for fiscal year 2026. As a result, US embassies, consulates and USCIS can no longer issue EB-5 Unreserved immigrant visas or approve adjustment-of-status applications for Indian applicants in this category until the new fiscal year begins on October 1, 2026.

 

The development affects Indian investors using the traditional EB-5 route, which provides a path to a green card through investment in US businesses.

 

What exactly is the EB-5 Unreserved category?

 

The EB-5 programme is divided into:

 

• Unreserved EB-5 visas (traditional EB-5 category)
• Reserved EB-5 visas, including:
• Rural projects
• High-unemployment-area projects
• Infrastructure projects

 

The current exhaustion affects only the Unreserved EB-5 category for India. The reserved categories created under the EB-5 Reform and Integrity Act continue to remain available and current in most cases. 

What does this mean for Indian investors?

 

For Indian nationals in the EB-5 Unreserved queue:

 

No new immigrant visas can be issued until October 1, 2026.

Approved cases may face delays in final visa issuance.

Pending adjustment-of-status applications cannot receive final approval until visa numbers become available again.

Processing will resume when fiscal year 2027 visa allocations open.

 

Importantly, this does not mean applications are cancelled. It simply means visa numbers have run out for the current fiscal year and applicants must wait for the annual quota reset.

 

Why this matters

 

Taken together, July 2026 marks one of the most difficult months for Indian employment-based immigration applicants in recent years:

 

EB-1 India has retrogressed, increasing waiting times for multinational executives, researchers and extraordinary-ability applicants. 

EB-2 India has become unavailable until the new fiscal year because the annual quota has been exhausted. 

EB-5 Unreserved visas for India have also been exhausted, pausing investor green card approvals until October.