After years of preparation and planning, 29-year-old content creator Pragati Priya from Jharkhand is set to leave for Rome in September to pursue a master’s degree in global economic affairs. The move is expected to expand her career opportunities in Europe, yet it also comes with growing financial uncertainty.
The sharp depreciation of the Indian rupee against major currencies, including the euro, has significantly increased the cost of her education abroad. The rising loan burden has left her anxious about long-term repayment. She said the uncertainty has affected her peace of mind, adding that she does not want to be trapped under debt for years after completing her studies.
Priya’s concerns reflect a broader trend among Indian students pursuing higher education overseas. India has become the world’s largest source of international students, with more than 1.2 million enrolled abroad in 2025. However, a combination of currency weakness, tighter visa rules, and uncertain job markets in destination countries is prompting many families to reconsider their plans.
Education consultants report a noticeable slowdown in demand. Sushil Sukhwani, founder of Edwise International, said enrolments to countries such as the United Kingdom and the United States have already dropped significantly in recent years and may continue to decline further. He linked the trend to stricter immigration policies, rising tuition costs, and reduced post-study work opportunities.
Currency depreciation has intensified the pressure. The rupee has weakened by more than 10% against the US dollar in the past year and has fallen by up to 47% against some major study destination currencies since 2019, making foreign education considerably more expensive for Indian households.
Industry experts also note that students who manage to go abroad are increasingly struggling to secure skilled employment after graduation. Many end up taking up gig economy jobs, a shift that is reshaping expectations around return on investment in foreign education.
Despite these challenges, demand has not disappeared. Instead, it is shifting toward more affordable destinations. Countries such as Germany, Ireland, and Italy are gaining popularity due to lower tuition fees and better post-study work pathways.
Priya’s decision to choose Italy reflects this changing preference. Her tuition costs in Rome are nearly half of what she would have paid in the United Kingdom, while the United States would have required a longer course duration and higher overall expenses.
Analysts say the trend poses concerns for traditional education hubs such as the US and UK, which rely heavily on Indian students. Kaushik noted that overlapping challenges—including currency pressure, visa restrictions, and weaker job prospects—are creating a difficult environment for both students and universities.
He added that the impact extends beyond education, affecting university towns and broader economies that depend on international student spending.
