Visa Restrictions and Reservations, Shrinking Path of Indian Students

Visa Restrictions: With tightening visa restrictions for students in the US and Canada dream of higher education seems elusive for South Asian students, specifically impacting Indian students which approximately make 27-40 percent to the US and Canada respectively. Tightened U.S. visa restrictions under President Donald Trump’s second administration and Canada’s reduction in international student visas have posed a significant challenges to the aspirations for higher education of foreign students.  Indian students are impacted most as they makes the largest international student group in both countries, with over 331,000 in the U.S. and 427,000 in Canada as of 2024.( https://wenr.wes.org/2024/11/massive-growth-and-rapid-policy-change-what-the-data-tell-us-about-international-students-in-canada?utm_source=chatgpt.com)

According to AP News, Department of Homeland Security’s termination of Harvard’s ability to enroll international students for 2025-26, exemplifies the crackdown. Stricter vetting processes have slowed visa approvals. With a reported drop of approximately 50,000 student visas issued to Indian students in 2024 compared to prior years. The move potentially disrupts the status of nearly 6,800 international students, including almost 800 Indian students. https://apnews.com/article/harvard-trump-foreign-student-457d07268fba9c1f6f7f32fe0424bc3b

Ironically, according to Forbes, H-1B visa denials, surged to 24% from 6% and 21% in 2019, during Trump’s first term compared to 4% under Biden, threatening career pathways, as many Indian student visa holders transitioned to H-1B visas from 2008 to 2018. A New Yorker report states 65% of the 1.7 million H-1B visas issued since 2009 were given to Indians. For continuing employment, Indians made up over 80% of the total visa holders.  In the second Trump term and with deteriorating India US relations, it is the students aiming to head abroad for higher studies, are bearing the brunt. International graduate students, have long been dependent on research assistantships backed by federal grants like NIH and NSF in the US. However, Trump’s administration slashed indirect cost payments and froze billions in research funding—disrupting stipends and work opportunities for many. Indian students often fill such positions—and cuts directly jeopardize their financial support and academic progression.

Elite universities like the Harvard are now facing threats to their ability to host international students—a directive that could have affected more than 6,000 students, says a report in Harvard Crimson. Universities resisted that revocation in court, securing temporary relief, yet anxiety and uncertainty remain.  It is the prestige of universities like Harvard which is a major draw for Indian students. Funding withdrawals and federal overreach threaten these institutions’ autonomy, prompting some to reassess U.S. as a choice.

Canada, a top destination for Indian students, has reduced study permits by 31% for Indian applicants in Q1 2025, from 44,295 to 30,640, driven by housing shortages and public concerns about immigration, reports India Today. New field-of-study requirements for Post-Graduation Work Permits (PGWP), effective November 1, 2024, limit eligibility to sectors like healthcare and technology, excluding students in humanities or general business programs. According to a report, 41% drop in Indian student enrollment in 2024, exacerbated by a Canada-India diplomatic standoff, has further diminished Canada’s appeal.

Question arises, why do Indian students have to make a beeline abroad to further their studies? The answer is simple – due to heavy reservations within elite Indian public colleges and universities, these students who may score the highest marks in the country, cannot gain admissions.  India’s reservation architecture today allocates 15% of seats to Scheduled Castes (SC), 7.5% to Scheduled Tribes (ST), and 27% to Other Backward Classes (OBC) in central institutions and many public jobs. Since 2019, an additional 10% quota exists for the Economically Weaker Sections (EWS) drawn from the non-reserved classes; the Supreme Court upheld this 103rd Constitutional Amendment in 2022 in the case of in the case of Janhit Abhiyan v. Union of India. In effect, central institutions operate with roughly 59.5% reserved seats when EWS is included, compared with the long-cited 49.5% before EWS.

These numbers do not, by themselves, tell us how many “general category” aspirants are displaced from specific programs in any given year; competition in marquee exams (JEE, NEET, central and state university entrances) is shaped by many variables—seat supply growth, coaching access, fee levels, and state-wise rules. But the macro-outcome is visible in outward mobility as reported by India’s Ministry of External Affairs which counted that by 1 January 2024, about 1.33 million Indian students enrolled abroad (up from 675,000 in 2019), a doubling in five years.

So, what options do general category students have in this uncertain environment? First, I know it’s a far cry and politicians will hate me for this: reservations within universities and colleges in India need to be abolished and admissions should only be based on merit, no matter which caste you belong to.  Or reserve seats for meritorious and economically weaker group, where caste and religion do not play a factor. Secondly, there are countries in Europe which are now opening up to Indian students. Countries like Germany, which has low to no tuition model but with language restrictions, could be an option.

Undoubtedly, restrictions in North America can redirect flows to Europe or to emerging Asian hubs. At the same time, more applicants should take a harder look at Indian private universities, state universities with expanding capacity, or EWS routes where eligible. Whether that is “good” or “bad” depends on program quality and placement outcomes; but it does mean the blanket assumption that “you can always go to Canada or the U.S.” is less reliable in 2025 than years earlier.

 While Indian students may miss out on the international experience, yet options are opening up within the country with foreign universities coming to India. According to University World news, at least five universities are coming to India, with UK’s Southampton University starting some courses this academic season. Others are Australia’s Deakin and Wollongong universities in Ahmedabad’s GIFT City in Gujarat, and the UK’s York University in Mumbai.  India’s education minister Dharmendra Pradhan had announced earlier this year that, “The University of Liverpool is the fourth foreign university to publicly announce its presence in India. By this academic year, 15 foreign universities will be coming to India, especially in STEM [science, technology, engineering and mathematics].”

The combined impact of U.S. visa restrictions and Canada’s study permit reductions undeniability has created a challenging environment for general category Indian students, threatening their access to global education and career opportunities. Yet, not all is lost for the general category students as when one door closes, others are now opening up. Path ahead may be shrinking, but other routes are now available as India reforms its education sector. All they need to do is explore alternative destinations, prioritize high-demand fields, leverage India’s growing academic ecosystem, embrace hybrid learning, and staying proactive, students can overcome these hurdles.

Strategic planning and adaptability will further ensure that Indian students continue to thrive in a competitive global landscape, contributing to innovation and cultural exchange worldwide. Just like the dot com bust, the North American dream too is now a bust.  In other words, North America’s loss is India’s gain as now the country can take advantage of the brains staying at home and giving them better opportunities, so they can continue to dream freely which will define the next great chapter of India’s education story.