Washington: The number of Indian students seeking admission to educational institutions in the US has declined by 15 per cent amid tightening immigration policies and visa restrictions, according to a report.

The US has traditionally been the first choice for lakhs of Indian students seeking undergraduate and postgraduate education abroad. Indians account for 31 per cent of international students studying in the US. During the 2024-25 academic year, 3.63 lakh Indian students were enrolled in various courses in the country.

15 per cent decline
India remains the largest source of international students to the US, but interest among Indian applicants in American colleges has declined this year, according to a report by Common App, which represents more than 1,100 educational institutions.

The report said that while overall applications from domestic students had increased, applications from international students had declined by up to 10 per cent as of March 1.

Applications from India fell by 15 per cent, described in the report as the steepest decline on record.

Overall enrolment is projected to fall from 11.69 lakh in 2025-26 to 10.57 lakh in 2026-27 amid tighter immigration policies and visa restrictions, according to the report.

What is driving the decline?
Since 1978, international students who completed their studies in the US were allowed, subject to certain conditions, to remain in the country for an extended period. Under the new policy, students would be permitted to stay for a maximum of four years.

The period available to students after completing their studies to transfer to another college or leave the country has also reportedly been reduced from 60 days to 30 days.

There is also consideration of charging foreign students seeking to use the Optional Practical Training (OPT) programme, which allows them to gain work experience after completing their studies, a fee of up to Rs 95 lakh.

Students working under the OPT programme can subsequently seek to switch to an H-1B work visa. Changes to that process have also contributed to concerns among Indian students, education experts said, prompting some to consider countries such as Canada and Australia instead.

Economic impact
The decline in international student enrolment is also expected to affect the US economy.

International students contributed an estimated Rs 3.98 lakh crore to the US economy in 2025-26. This is projected to decline to Rs 3.66 lakh crore in 2026-27, according to the report.

H-1B visa fee set to rise
The Donald Trump administration has officially announced a new rule increasing the H-1B visa fee for foreign workers employed by US companies to Rs 99 lakh.

The Trump administration had last year proposed a sharp increase in the visa fee from Rs 1.9 lakh, arguing that foreign workers were taking employment opportunities away from Americans. A US court had blocked the move, terming it unlawful.

With the temporary stay order set to expire in September, the administration has introduced a new regulation aimed at making the higher H-1B visa fee permanent while overcoming the legal challenges.

The measure is expected to disproportionately affect Indians, who account for around 70 per cent of H-1B visa holders in the US.

Visas of 2 lakh asylum seekers may be cancelled
The Trump administration is planning to cancel the visas of around two lakh people who entered the US on temporary tourist or business visas and subsequently sought asylum, according to reports.

The proposed action would cover foreign nationals who obtained B-1 business or B-2 tourist visas between 2016 and 2026 and subsequently sought asylum in the US.

The US State Department has not disclosed country-wise figures on the number of people who could be affected.

Officials said cancellation of the visas would not necessarily result in the immediate deportation of all those affected and that their cases could be reviewed.

More than 1.75 lakh visas have been cancelled since Donald Trump began his second term as president in January last year.