Indians spent $1bn on study abroad in 2025, the lowest April-August outflow since 2017: RBI
After surging to $2.37 billion in 2021 as global campuses reopened post-pandemic, India’s study abroad remittances have steadily fallen: $1.48 billion in 2022, $1.28 billion in 2024, and now $1 billion in 2025
- Oct 25, 2025,
- Updated Oct 25, 2025 10:19 AM IST
Indian families are sending significantly less money abroad for education this year. According to new data from the Reserve Bank of India (RBI), remittances under the “studies abroad” category, which covers tuition, living expenses, and admission fees, stood at $1 billion between April and August 2025, marking a 22% drop from the same period last year, according to The Pie News.
The decline represents the lowest April–August outflow since 2017, when Indians spent $787.8 million on overseas education.
While the RBI data captures formal education-related transfers, the actual figure could be slightly higher when including transfers made as “maintenance of close relatives,” often used by parents to send students' pocket money.
A seven-year low in education outflows
After surging to $2.37 billion in 2021 as global campuses reopened post-pandemic, India’s study abroad remittances have steadily fallen: $1.48 billion in 2022, $1.28 billion in 2024, and now $1 billion in 2025.
“Part of the decline reflects a slowdown in the number of Indian students heading to the US, a destination dominated by world-class but expensive private universities like Harvard and Stanford,” said Rahul Subramaniam, founder of Athena Education, to The PIE News.
At the same time, Subramaniam said, more students are looking to Europe, where public universities offer high-quality programs at far lower tuition fees.
Visa rejections and rising costs
The drop aligns with a broader 15% fall in Indian students studying abroad in 2024. Visa bottlenecks and record currency depreciation have worsened affordability for families.
In the US, student arrivals from India have fallen to the lowest since the pandemic, down over 45% from last year. Canada rejected nearly 80% of Indian study permits in 2025, while the UK and Australia have tightened post-study visa norms under the Graduate Route and international enrolment controls.
This upheaval across traditional study destinations, the US, UK, Canada, and Australia, is reshaping the landscape of global student mobility.
As established destinations tighten entry norms, Indian students are increasingly exploring Germany, France, Ireland, Italy, Finland, Japan, South Korea, Russia and the UAE. Many are also turning to education loans and scholarships to manage costs.
Indian families are sending significantly less money abroad for education this year. According to new data from the Reserve Bank of India (RBI), remittances under the “studies abroad” category, which covers tuition, living expenses, and admission fees, stood at $1 billion between April and August 2025, marking a 22% drop from the same period last year, according to The Pie News.
The decline represents the lowest April–August outflow since 2017, when Indians spent $787.8 million on overseas education.
While the RBI data captures formal education-related transfers, the actual figure could be slightly higher when including transfers made as “maintenance of close relatives,” often used by parents to send students' pocket money.
A seven-year low in education outflows
After surging to $2.37 billion in 2021 as global campuses reopened post-pandemic, India’s study abroad remittances have steadily fallen: $1.48 billion in 2022, $1.28 billion in 2024, and now $1 billion in 2025.
“Part of the decline reflects a slowdown in the number of Indian students heading to the US, a destination dominated by world-class but expensive private universities like Harvard and Stanford,” said Rahul Subramaniam, founder of Athena Education, to The PIE News.
At the same time, Subramaniam said, more students are looking to Europe, where public universities offer high-quality programs at far lower tuition fees.
Visa rejections and rising costs
The drop aligns with a broader 15% fall in Indian students studying abroad in 2024. Visa bottlenecks and record currency depreciation have worsened affordability for families.
In the US, student arrivals from India have fallen to the lowest since the pandemic, down over 45% from last year. Canada rejected nearly 80% of Indian study permits in 2025, while the UK and Australia have tightened post-study visa norms under the Graduate Route and international enrolment controls.
This upheaval across traditional study destinations, the US, UK, Canada, and Australia, is reshaping the landscape of global student mobility.
As established destinations tighten entry norms, Indian students are increasingly exploring Germany, France, Ireland, Italy, Finland, Japan, South Korea, Russia and the UAE. Many are also turning to education loans and scholarships to manage costs.