A significant decline in the number of Indian students opting for higher education abroad is prompting a larger conversation around the readiness of India’s education ecosystem, according to Sushma Bharath, an independent education strategist and consultant.

Sushma Bharath

Recent data indicates that the number of Indians travelling overseas for higher education has dropped from 908,000 in 2023 to 626,000 in 2025, with US student visas alone witnessing a sharp 62 per cent decline between June and July 2025. While this trend may appear encouraging for India, Bharath notes that the reasons behind it warrant closer scrutiny. (Source: The Red Pen)

“While visa restrictions and global uncertainties are immediate factors, the growing impact of AI on service-led sectors such as IT is also influencing parental decisions. Families are increasingly reassessing long-term financial stability, which is shaping education choices,” she said.

Bharath raises a critical concern on whether India becoming a preferred option by default reflects progress or exposes underlying gaps in perception. “If it takes external disruptions for students to consider staying back, it is important for us to question what that says about our system,” she added.

Highlighting the evolution of India’s higher education landscape, Bharath pointed to the rise of liberal arts institutions such as Ashoka University, O.P. Jindal Global University, Azim Premji University, Krea University and Plaksha University, alongside the expansion of established institutions like Manipal and BITS into multi-campus models. 

However, she emphasised that increasing competition, especially with foreign universities such as University of Bristol, Illinois Institute of Technology, UNSW and University of Liverpool setting up campuses in India under the National Education Policy, will require institutions to significantly strengthen their offerings. (Source: Overseas education and The Economic Times)

“Universities can no longer assume demand. They must focus on strong faculty, meaningful multidisciplinary programmes, and outcomes that are aligned with the future of work,” she said.

Bharath also underscored the need for a broader shift in mindset from a service-led economy to one that nurtures entrepreneurship and job creation. “India must move from being a nation of job seekers to one of job creators. With the rise of the startup ecosystem, young people today are increasingly inspired by founders and builders, and education must reflect that shift,” she noted.

Calling for collective responsibility, Bharath said that the presence of these students in India places an onus on the entire ecosystem. “Universities, employers, counsellors, and all stakeholders must ensure that students see real value and outcomes here. It cannot be reduced to positioning or marketing alone,” she said.

“The students are here. The question is whether we are ready for them,” she added.