For decades, the American dream has been stitched into the fabric of Indians’ study abroad aspirations. From Silicon Valley to Ivy League campuses, a degree in the United States has long symbolised academic prestige and career promise. But the numbers are now telling a different story.
Student arrivals to the US fell 19% in August 2025 compared to last year, according to Bloomberg data, the sharpest drop in four years. The decline, led by Asian students and driven largely by Indians, marks the fifth straight month of reduced inflows. It signals that while the US remains the world’s most sought-after study destination, Indian students are increasingly weighing their options elsewhere.
The new H-1B $100K fee
The shift is closely linked to policy and immigration uncertainty in the US. While visa processing has improved since 2024, proposed changes to the H-1B program, including a $100,000 employer fee, have triggered widespread alarm among students and families, raising serious doubts about the feasibility of pursuing education and long-term careers in the US.
“A six-figure cost for employers would likely dampen hiring, especially among startups and smaller firms,” Adarsh Khandelwal, Co-Founder and Director of Collegify, said. As a result, many students now adopt a “multi-destination strategy,” applying simultaneously to European or Asian programs to ensure multiple pathways for study and work.
Indian students weigh American risks
Indian students and their families are now making more calculated choices. Rising tuition and living costs, uncertainty over post-study work rights, and fresh immigration hurdles in the US are prompting families to think beyond traditional prestige.
Students are increasingly factoring in the predictability of visas, work opportunities, and long-term career pathways. For many, the new question isn’t whether to study abroad, but where they can secure a stable education-to-employment trajectory, weighing factors such as cost, policy stability, and post-graduation work prospects alongside academic ambition.
“The fascination with the United States as an academic destination has always run deep in India, but students are now weighing risk alongside aspiration,” Khandelwal added.
Europe and Asia rise as safer alternatives
This caution is prompting students to look beyond the US. Germany, France, and the Netherlands have gained traction as alternatives, offering lower tuition, English-taught programs, and clear post-study work rights.
“Germany has become the frontrunner in Europe, welcoming close to 60,000 Indian students with its strong STEM ecosystem and affordable education,” said Varun Singh, MD of XIPHIAS Immigration. Singapore, and the UAE are also attracting Indian students, combining quality education with early career opportunities, Khandelwal stated.
Europe vs US – How much does it really cost?
The financial burden of higher education is prompting students to consider alternatives to traditional destinations like the United States. Countries in Europe often provide two-year post-study work rights and faster pathways to residency, offering predictability that the US currently lacks. Singh said, “Parents are asking tougher questions—how long can my child stay after graduation, and how soon can they work? Germany, France, and Ireland offer clearer and more predictable post-study opportunities.”
According to a Bloomberg report, in the US, tuition fees for international students can range from $20,000 to $50,000 per year, with additional costs for room, board, and health insurance, leading to total annual expenses exceeding $100,000 at elite institutions,
In contrast, many European countries offer more affordable options. For instance, public universities in Germany charge minimal administrative fees, typically between €150 and €350 per semester, while France's public universities have annual fees around €2,770.
These lower costs, combined with structured post-study work rights and clear pathways to skilled employment, make Europe an increasingly attractive option for Indian students seeking quality education without the financial strain associated with US institutions.
Strategic choices for Indian students
For today’s students, choosing a study destination is about more than prestige. Visa stability, affordability, employability, and long-term residency opportunities are now key considerations.
According to Singh, students should plan dual tracks, keeping the US as an option while exploring Europe, Canada, and Asia. “Germany’s EU Blue Card route is increasingly attractive, the Netherlands offers an orientation year for graduates, and France’s Talent Passport provides strong options for high-skilled graduates. Canada and the UAE also remain viable alternatives depending on the field,” Singh said.
“The world beyond the US is no longer plan B—it’s just plan different. Singapore and Dubai are emerging as career accelerators, while many students are leveraging India’s own globalized economy through multinational firms, or even remote-first opportunities, to build global careers without leaving their time zone,” Khandelwal, also added.
With global competition for skilled students intensifying, the US may continue to lead in reputation, but Europe and Asia are establishing themselves as credible alternatives. For Indian students, the choice now balances aspiration with certainty, ensuring that education abroad is a strategic step toward career and life goals.
The US remains a strong pull
The fascination with America hasn’t vanished; it has matured. “Interest stayed very strong through 2024 and remains high in 2025,” Singh stated. “The US is still seen as the gold standard for academic depth, research opportunities, and employer recognition.”
Despite these emerging alternatives, the US still holds significant appeal. Its research infrastructure, global brand value, and employer demand continue to draw top Indian talent.
“If post-study work programs remain intact and companies continue sponsoring international talent, interest in the US will rebound in the next two to three years,” Singh added. The difference now is that the US is part of a more diversified set of options rather than the default choice.
Student arrivals to the US fell 19% in August 2025 compared to last year, according to Bloomberg data, the sharpest drop in four years. The decline, led by Asian students and driven largely by Indians, marks the fifth straight month of reduced inflows. It signals that while the US remains the world’s most sought-after study destination, Indian students are increasingly weighing their options elsewhere.
The new H-1B $100K fee
The shift is closely linked to policy and immigration uncertainty in the US. While visa processing has improved since 2024, proposed changes to the H-1B program, including a $100,000 employer fee, have triggered widespread alarm among students and families, raising serious doubts about the feasibility of pursuing education and long-term careers in the US.
“A six-figure cost for employers would likely dampen hiring, especially among startups and smaller firms,” Adarsh Khandelwal, Co-Founder and Director of Collegify, said. As a result, many students now adopt a “multi-destination strategy,” applying simultaneously to European or Asian programs to ensure multiple pathways for study and work.
Indian students weigh American risks
Indian students and their families are now making more calculated choices. Rising tuition and living costs, uncertainty over post-study work rights, and fresh immigration hurdles in the US are prompting families to think beyond traditional prestige.
Students are increasingly factoring in the predictability of visas, work opportunities, and long-term career pathways. For many, the new question isn’t whether to study abroad, but where they can secure a stable education-to-employment trajectory, weighing factors such as cost, policy stability, and post-graduation work prospects alongside academic ambition.
“The fascination with the United States as an academic destination has always run deep in India, but students are now weighing risk alongside aspiration,” Khandelwal added.
Europe and Asia rise as safer alternatives
This caution is prompting students to look beyond the US. Germany, France, and the Netherlands have gained traction as alternatives, offering lower tuition, English-taught programs, and clear post-study work rights.
“Germany has become the frontrunner in Europe, welcoming close to 60,000 Indian students with its strong STEM ecosystem and affordable education,” said Varun Singh, MD of XIPHIAS Immigration. Singapore, and the UAE are also attracting Indian students, combining quality education with early career opportunities, Khandelwal stated.
Europe vs US – How much does it really cost?
The financial burden of higher education is prompting students to consider alternatives to traditional destinations like the United States. Countries in Europe often provide two-year post-study work rights and faster pathways to residency, offering predictability that the US currently lacks. Singh said, “Parents are asking tougher questions—how long can my child stay after graduation, and how soon can they work? Germany, France, and Ireland offer clearer and more predictable post-study opportunities.”
According to a Bloomberg report, in the US, tuition fees for international students can range from $20,000 to $50,000 per year, with additional costs for room, board, and health insurance, leading to total annual expenses exceeding $100,000 at elite institutions,
In contrast, many European countries offer more affordable options. For instance, public universities in Germany charge minimal administrative fees, typically between €150 and €350 per semester, while France's public universities have annual fees around €2,770.
These lower costs, combined with structured post-study work rights and clear pathways to skilled employment, make Europe an increasingly attractive option for Indian students seeking quality education without the financial strain associated with US institutions.
Strategic choices for Indian students
For today’s students, choosing a study destination is about more than prestige. Visa stability, affordability, employability, and long-term residency opportunities are now key considerations.
According to Singh, students should plan dual tracks, keeping the US as an option while exploring Europe, Canada, and Asia. “Germany’s EU Blue Card route is increasingly attractive, the Netherlands offers an orientation year for graduates, and France’s Talent Passport provides strong options for high-skilled graduates. Canada and the UAE also remain viable alternatives depending on the field,” Singh said.
“The world beyond the US is no longer plan B—it’s just plan different. Singapore and Dubai are emerging as career accelerators, while many students are leveraging India’s own globalized economy through multinational firms, or even remote-first opportunities, to build global careers without leaving their time zone,” Khandelwal, also added.
With global competition for skilled students intensifying, the US may continue to lead in reputation, but Europe and Asia are establishing themselves as credible alternatives. For Indian students, the choice now balances aspiration with certainty, ensuring that education abroad is a strategic step toward career and life goals.
The US remains a strong pull
The fascination with America hasn’t vanished; it has matured. “Interest stayed very strong through 2024 and remains high in 2025,” Singh stated. “The US is still seen as the gold standard for academic depth, research opportunities, and employer recognition.”
Despite these emerging alternatives, the US still holds significant appeal. Its research infrastructure, global brand value, and employer demand continue to draw top Indian talent.
“If post-study work programs remain intact and companies continue sponsoring international talent, interest in the US will rebound in the next two to three years,” Singh added. The difference now is that the US is part of a more diversified set of options rather than the default choice.
You may also like
McFly star will never do I'm A Celeb for one reason despite bandmates' success
Ricky Hatton's cause of death to be revealed as friend who found him speaks out
Full list of jobs 'most at risk' of being taken over by AI - from teachers to radio DJs
Bihar elections: LJP (Ramvilas) Parliamentary party meeting underway in Delhi
IndiGo announces daily direct flights between New Delhi, China's Guangzhou from Nov 10
