USA

Is the USA losing its Appeal for Indian Students?

Students account for a large percentage of immigrants to the USA. Most students come to the USA with the dream of completing their education and finding a job in America that pays a higher salary than their home country. Indians are the second largest group of international students in America.

However, this may change in the years to come. For the year 2017-18, the number of total Indian Students in the USA increased but the rate of increase was the lowest it has been in the past 5 years.

Indian Students in the USA

Indians accounted for 17.9% of the total international student population in the USA in 2017-18. The Chinese accounted for 33.2% of the total number of international students. In terms of economics, Indian students contributed 7.5 billion USD to the US economy in 2017-18. Most Indian students are enrolled in STEM courses.

Maths / Computer ScienceEngineeringBusiness/ ManagementLife Sciences/ PhysicalHealth
37.5%35.4%9.8%5.5%2.7%

Indian students look towards the USA for undergraduate, graduate and postgraduate courses. This year has seen a 6.2% increase in the number of Indian students applying for undergraduate courses but a drop of 8.8% in the number of Indian students applying for graduate courses. The number of Indian students applying for non-degree courses also dropped by 16.6%.

The Rate of Growth for International Students in the USA

Between 20178-18 and 2016-17, the number of new admissions dropped by 19,098 while the cumulative number of students rose by 10,004. Thus, while the cumulative number of Indian students in America has increased over the last few years, the number of new admissions has decreased. The cumulative growth for the Indian student population in America was 5.4% in 2017-18. This is less than half the growth rate for the previous year.

Indian Students in the USA from FY16 to FY18

2015-162016-172017-18
Cumulative Number of Students165,919186,267196,271
Percentage Growth24.9%12.3%5.4%

India is not alone. The USA saw an overall growth rate of only 1.5% this year. This is the lowest it has been in the past 12 years. China, which has the largest number of international students in America, showed a growth percentage of only 3.6%. Canada, South Korea and Saudi Arabia had a negative growth percentage.

CountryGrowth Percentage of Student Population
China3.6%
India5.4%
Canada-4.3%
South Korea-7%
Saudi Arabia-15.5%

Why are Fewer Students going to the USA?

One of the main reasons for the drop in growth rate is the difficulty students perceive with finding jobs in the USA after they graduate. Education in the USA does not come cheap and hence most students take up loans to fund their courses. If they cannot find a job after completing their courses, paying back this loan becomes harder. Thus, they would prefer to study in other countries where the cost of education is lower and the probability of finding a job is higher.

In addition to this, recent changes made to the H1B visa policy are also making students think twice about heading to the USA.

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