How Canada, UK, Australia are souring Indians' foreign education plans

Seema Lal, an assistant professor at a well-known college in Dehradun, spent a decade conducting research in Canada. After seven years back in India due to a family crisis, her desire to return to Toronto is strong. "Once you get a taste of living there, it’s hard to feel satisfied returning home," she told Business Standard. The appeal of the standard of living, higher pay, and overall quality of life in countries like Canada, the US, the UK, and Australia is undeniable. Many Indians aspire to live in these nations, often choosing foreign colleges with the long-term goal of settling there. But now the environment for students planning to study abroad is changing rapidly, with visa approval rates declining and policies becoming more restrictive.

 

Visa approval rate

The visa approval rate refers to the percentage of visa applications that are granted. A decline in these rates is creating concern among students and families. According to ICEF Monitor, which provides insights for the international education sector, there have been some significant trends across different types of visas:

O1 visa: nonimmigrant visa approval rates range between 80-95%.

Global Talent Visa: maintains a success rate above 90%.

F1 visa: US student visa approvals dropped from 79% in 2019 to 65% in 2022.

Student visa: Global student visa approval rates fell from over 90% to 82%.

EB-5 investor visa: Visa petition denials often stem from inconsistencies in the information provided.

More than just visa approval rates

While the visa approval rate is a key indicator, other factors also play a role in shaping students' opportunities to study abroad. Annual visa quotas, rising application fees, processing delays, and shifts in immigration policies can all affect students.

Countries may limit the number of student visas they issue annually, affecting students regardless of whether they meet all requirements. Application costs, including visa fees, biometric charges, and medical tests, continue to rise, putting pressure on families. Consulates are also facing staffing shortages, which results in longer processing times and fewer interview slots.

"Students need to consider more than just education when choosing an international university. Factors like living costs, visa policies, and post-study work permits should all be taken into account," said Manisha Zaveri, joint managing director of Career Mosaic.

Countries tightening student visa regulations

Canada, for instance, is facing a housing crisis, and in response, has put a cap on student visas. The UK is reviewing its Graduate Work Visa Programme, and Canada is revising its Post Graduate Work Permit scheme, which may impact thousands of Indian students. Additionally, Australia is proposing a National Planning Level (NPL) to limit the number of international students to 270,000 for the year 2025. In the first quarter of 2024, Indian student visa applications to the UK, Canada, and Australia fell by 20 to 30%.

How difficult is it to secure a student visa?

Getting a student visa requires several steps, including submitting an online application, paying the visa fee, attending a visa interview, and waiting for approval. However, the complexity and costs vary by country:

Canada: In 2024, Canada capped student visas at 360,000, a reduction of 35% compared to the previous year. Students now must show proof of at least CAD 20,635 for living expenses, up from CAD 10,000 previously. Visa processing times have increased as the Canadian government cuts down on consulate staff in India. The approval rate for student visas in 2023 was 72%.

USA: The F1 visa approval rate dropped to 64% in 2023, a decrease from 74.6% in 2019. While the US maintains the largest consular network in India, available visa interview slots remain limited. The process has also become stricter, with students needing to justify their choice of course and institution.

UK: With a 98% visa approval rate in 2023, the UK remains attractive. However, recent changes in policy, such as restrictions on dependants for certain visas, have made long-term plans more difficult. The application fee is high at GBP 363, and students must demonstrate financial resources exceeding GBP 12,000.

Australia: The visa rejection rate in Australia stands at 15%, but recent increases in visa fees to AUD 1,600 and tougher immigration policies are creating barriers for students. English language requirements and financial proof have become more stringent.

Germany: Germany’s visa approval rate is a strong 90%, but processing times have increased. Students must prove financial capability with a blocked account of about EUR 11,208.

Which countries are Indian students now considering?

According to a 2024 report by India’s Ministry of External Affairs, a staggering 83.5% of the 13,35,030 Indian students abroad are studying in Canada, the US, the UK, Australia, and Germany. These five countries alone host 11,14,829 Indian students. However, while the US remains a preferred choice, other destinations don’t hold the same appeal anymore.

"Amidst all these changes, the US continues to remain robust in its demand for international students. Currently, there are over 250,000 students from India at US universities. In 2023, the US Mission to India issued more student visas than in 2018, 2019, and 2020 combined," Abhijit Zaveri, MD and founder of Career Mosaic.

Speaking to Business Standard, Saurabh Arora, founder and CEO of University Living, also highlighted the growing appeal of other destinations. "For students who may be reconsidering Australia, destinations like Germany, Spain, France, Italy, Ireland, Dubai, Singapore, and Malta are becoming attractive due to streamlined visa processes, increased accessibility to information, and making global education more feasible for Indian students," he said.

As students seek alternatives, Studyportals (a platform for international study option) data shows a decline in interest for Australia, Canada, and the UK, with growing attention on countries like the US, Italy, and Germany. By July 2024, Canada and the UK experienced drops of 25.8% and 25.1% in student interest compared to early 2024, while Australia’s interest fell by 17.6%.

This shift is particularly noticeable among Indian students, whose numbers in Canada and the UK have dropped by 24.5% and 32%, respectively, as reported by Studyportals. Some Canadian institutions are finding it difficult to cope with the reduced demand from top markets such as India and Iran. On the other hand, institutions in the US and Germany have seen a rise in student interest.