For decades, a degree from an American university was viewed as the pinnacle of academic achievement by students across the globe. But the allure of a US education is fading fast.
Numbers tell the story
According to recent reporting by The Economist, international student enrolment in the United States dropped by 12% in 2024 — the steepest decline in two decades. This represents a loss of over 130,000 students and billions in tuition and living expenses for US institutions.
The Economist notes that the downturn is especially pronounced among Indian students, whose numbers fell by nearly 28%, with similar double-digit declines from Brazil and Nigeria.
Why the exodus?
The Economist’s surveys reveal that 40% of prospective international students now perceive the US as less welcoming than before. This sentiment is fuelled by higher visa refusal rates, political uncertainty, and restrictive policy changes enacted in recent years.
The Economist reports that hundreds of student visas have been revoked, and further travel restrictions are expected, intensifying anxieties among applicants.
Meanwhile, tuition fees at leading US universities have risen by 6% annually, outpacing inflation and making American degrees less cost-effective.
The Economist estimates that international students now face annual expenses of around $30,000, not including living costsbl — a figure that is increasingly difficult for many families to justify.
Global competition heats up
While the US tightens its borders, other countries are seizing the opportunity. The Economist highlights that Canada, Australia, and Germany have expanded scholarships and post-study work rights, attracting students who might once have chosen the US.
In addition, cuts to federal research funding in the US are beginning to affect doctoral admissions and the overall appeal of American higher education.
A turning point
Experts cited by The Economist warn that this is not a temporary dip, but a fundamental shift in global student mobility. The drop in enrolment is already reshaping university finances, research output, and America’s standing in the global knowledge economy.
One higher education analyst told The Economist, “The dramatic shift in international student enrolment has the potential to reshape American higher education in ways that would be difficult to reverse.”
Attribution: All facts, figures, and analysis in this article are drawn from recent reporting by The Economist, including interviews and data from higher education experts.
