Summary of this article
Rising costs are making Indian students rethink studying abroad.
Visa uncertainty and loans are reshaping overseas education decisions.
International university programmes in India are gaining student interest.
For Indian students, the decision to study abroad is becoming more closely linked to affordability, education loans, and the expected return from the degree acquired, according to a report by Emeritus. Visa rules, living expenses and job prospects after graduation are also shaping these choices.
The report, titled India’s Gen Z Outlook 2026: Recalculating Education, Ambition, and Success, has found that 60 per cent of pre-college respondents would consider studying abroad. The figure rises to 78 per cent among transitioning students and stands at 71 per cent among early-career respondents.
Cost Becomes A Key Part Of The Study-Abroad Decision
Among respondents considering overseas education, 40 per cent have cited cost as their primary barrier, followed by visa requirements and immigration policies at 32 per cent, and being away from family at 31 per cent. Further, 48 per cent of those considering studying abroad have shown reluctance in interest compared to a year ago.
Ashwin Damera, co-founder and CEO, Emeritus, said students need to calculate the full cost of education abroad instead of looking at only the tuition. “When a student opts for overseas education, they are also paying for the degree and for the life around it, including accommodation, food, health insurance, travel, and even day-to-day living in a city that is significantly more expensive than in India,” Damera said.
The report also found that 35 per cent of respondents considering overseas education would consider the US, but 42 per cent of this group has now reduced their interest over the past year. Among those whose interest declined, 41 per cent have stated study costs and 34 per cent current visa and immigration policies as reasons for the dip in interest.
Education Loans Need A Wider Calculation
For students using loans, the financial assessment needs to include tuition, living expenses and interest costs, along with the possibility of a delay in finding a job after graduation.
Damera said, “The question is not whether the salary justifies the loan – it is whether the total investment, which is, tuition, living costs, lost earnings during the degree, and loan interest – is proportionate to the career it actually creates.”
The report has found that 40 per cent of respondents considering overseas education expect higher earning potential, while 39 per cent expect better job opportunities and 33 per cent seek stronger professional or industry networks.
Students Are Spending Beyond Their Degrees
Education spending is also moving beyond the main degree. Around 73 per cent Gen Z are actively is looking for ways to stand out beyond formal education, 78 per cent have completed at least one online short course or certification, and 82 per cent are using artificial intelligence (AI) or GenAI tools at least once a week for learning.
Damera said that students should assess whether an additional course builds a skill that matches the career they want, rather than collecting certificates without a clear purpose.
The report has also revealed that confidence in the value of a degree rises from 58 per cent among pre-college respondents to 68 per cent among transitioning respondents and 74 per cent among early-career respondents. However, 65 per cent early-career respondents still feel a degree alone is insufficient for success.
India-Based Options Offer Another Financial Route
The report has pointed at the growing interest in international programmes available in India. Overall, 68 per cent respondents would be likely or extremely likely to study a programme offered in India by an international university. About 72 per cent view such programmes as more affordable than studying at the same university abroad, while 72 per cent believe they offer global teaching methods and high academic standards.
Among transitioning students, 69 per cent prefer an India-based international programme over going abroad to avoid visa uncertainty. For respondents preparing for postgraduate study, 50 per cent would consider a fully on-campus international programme in India, while 38 per cent view it as their first choice.
The India-plus-partial-abroad pathway is preferred by 39 per cent of transitioning respondents, up from 27 per cent among pre-college respondents, the report added.
