The study abroad market faces its most pressing challenge today: tightening regulations across popular destinations like the USA, UK, Australia, and Canada. Recent changes, such as Canada's decision to reduce international student numbers by 35% for the 2025 and 2026 intakes, Australia's significant hike in student visa fees (from AUD 710 to AUD 1,600), the UK's stricter dependent visa policies and increased maintenance fund requirements from 2025, and the USA’s restrictions on the F-1 visa, are reshaping the landscape. While these measures help to bring long-term sustainability, they are redefining aspirations.
The most significant result of the shift is the emergence of Germany, France, Ireland, Finland, and Italy as thriving study-abroad hubs. These destinations are projected to experience an 11-13% CAGR growth between 2024 to 2029 (Redseer Report) in international student inflow, driven by their conducive environment and favorable policies for international students.
Shift to Globally Diverse Destinations
UAE, Japan, South Korea, Sweden, the Netherlands, Georgia, Malaysia, and Singapore are among the relatively untapped destinations for Indian students. Offering a blend of academic rigour, post-study opportunities, and cultural exposure, these destinations each hold unique appeal for international students. For instance, Georgia is renowned for its medical courses, the UAE stands out for its job opportunities and affordable tuition, the Netherlands boasts research-intensive institutions, and Japan is celebrated for its robust financial support for students. This shift highlights a growing trend toward diverse education options that align with varied academic and career aspirations.
Finances Shaping Preferences
With rising tuition and living costs, students are increasingly prioritising affordability and access to work opportunities. In this context, countries like Germany, France, and Ireland are taking center stage. Germany's policy allowing students to stay for up to 9 months before enrolment and work 20 hours a week before starting the course is a key factor driving the growth of international students in the country. France's low tuition fees at public institutions, combined with various housing grants and scholarship opportunities, make it an attractive option for students. Similarly, Ireland's favorable job market for the international workforce is fueling its rising popularity among students.
USA to Maintain Dominance
Despite shifts in global preferences due to policy changes and rising costs, the USA is expected to remain a top choice for international students. With its well-funded research infrastructure and strong reputation for STEM courses—bolstered by the highest number of R1 institutions (research-intensive universities)—the USA continues to attract students. Even at this point, over 330,000 Indian students are studying in the USA.
The promise of high-quality education offering possibly the best ROI is one of the major attractions of the USA. Complementing it is the USA's reputation for supporting academics with job-ready skills by focusing on holistic development through co-op and internship opportunities.
Destinations with Ease in Navigating Complexities
Students are increasingly favouring destinations with simplified processes for visas, applications, and work rights. This shift is directly linked to the support provided by governments and universities in making these transitions smoother.
Countries like Ireland, Finland, and New Zealand are standing out for their student-friendly policies. Ireland's Global Citizens 2030 initiative, which aims to grow the international tech workforce by 10% by 2030, Finland's extended part-time work hours (25-30 hours/week), and New Zealand's favourable post-study work visa policies have made these nations top choices for students seeking both ease and opportunity.
Closing Thoughts
As the study abroad landscape evolves, students are gravitating toward destinations that offer quality education, affordability, and ease of process. While traditional hubs remain popular, emerging destinations like Germany, France, Ireland, and Finland present an attractive alternative with their student-friendly policies and work opportunities. This shift highlights a growing demand for diverse, accessible study-abroad options that align with students' academic and career goals.
And places an even greater responsibility on an international education provider such as upGrad, to bridge this gap with innovative solutions and strategic university partnerships, empowering aspirants to make informed decisions for their futures
(Written by Ankur Nyati, President - upGrad Abroad)
