Brain drain: India may be losing top talent as students flock to study abroad | Policy Circle
Indian students are increasingly favoring higher education in countries like the US, UK, Australia, and Canada. According to the Indian Student Mobility Report 2024, approximately 10.3 lakh Indian students are studying abroad, with 8.5 lakh in these four countries alone. In the 2023-24 academic year, these students collectively spent nearly $34 billion. The US has seen a particularly notable increase, with a 35% rise in Indian students over the past year, reaching an all-time high of 268,923 students.
Indian Students Seek Greener Pastures Amidst Homegrown Education Challenges
This trend is perplexing given the tightening visa regulations and the challenges students face in securing internships and employment. The US, UK, Australia, and Canada have all implemented stricter visa policies to control the influx of international students. These measures have made it harder for Indian students to obtain study permits.
Challenges in Securing Study Permits
The UK, for example, has restricted family inclusion and made it difficult to transition from a student visa to a work visa without completing studies. Canada has capped the number of study permits and increased financial requirements. The US has introduced measures against immigration fraud, while Australia has set an IELTS score cutoff and raised savings mandates for international students. Despite these hurdles, these countries remain top choices for Indian students.
The US Remains the Top Study Destination
The appeal of the US lies in better career prospects. Indian students and their parents believe that an American degree offers higher-paying job opportunities not easily available in India. Most Indian students in the US pursue graduate programs in STEM fields, which are in high demand. The US also offers a diverse range of programs in emerging areas like data science, AI, and sustainable energy.
“The educational pattern in US universities encourages learning from failures rather than stifling innovation. Additionally, the fellowship amounts offered during research studies are higher than those in India,” says Dr. Ravi Ranjan, Assistant Professor at Patliputra University, Patna. The Optional Practical Training (OPT) program allows students to work in the US for up to three years after graduation, enhancing the appeal of American education.
Why India Struggles to Retain Its Students
Despite the New Education Policy (NEP) and skill development programs, India’s higher education system is misaligned with industry needs. This gap between education and employable skills leaves many young graduates struggling to find jobs. Reports indicate that 38% of new Indian Institute of Technology (IIT) graduates this year were unable to secure employment. Competition for admission to top Indian universities is fierce, with acceptance rates dropping to as low as 0.2%.
For the Common University Entrance Test (CUET) this year, over 13 lakh applications were received for around 3 lakh seats in 200-plus universities. “The higher education sector in India is seeing a decremental trend in research and innovation. The problem lies with the quality of education at the graduate and post-graduate levels. Students remain rote learners, lacking critical thinking and analysis skills,” says Dr. Ranjan.
Foreign universities benefit financially from the influx of Indian students, who pay higher tuition fees. Many students aspiring to study abroad come from Tier-2 and Tier-3 cities. The rise of the upper middle class in India is contributing to this migration trend. American universities and other foreign institutions actively recruit Indian students through workshops and fairs.
While India has established new IITs and IIMs and private colleges are proliferating, the country still faces a shortage of employable professionals. Many upper-middle-class families believe that the competitive exam system in India is not worth the effort, preferring to send their children abroad if they can afford it.
(Bharti Mishra Nath is a senior journalist)
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