Study Abroad 2026: ₹6.3 Trillion Spent by 18 Lakh Indian Students

Let’s travel back to 2016, around 3.5 lakhs students opted for study abroad. That time it was rare. Only a handful of families could send their child to a foreign land to get a global education. Now, fast forward, it's 2025 (figures are still emerging for 2026 so we take 2025). The Indian Express report says, “Over 18 lakh Indian students are studying abroad across 153 countries. The Ministry of External Affairs in the winter-session of Parliament shows. Of the total 18,82,318, 12,54,013 (over 12 lakh) students in universities”

The data speaks of a dramatic shift in that rare narrative. In the PIE Live India 2026 conference, one figure echoed. Indian students are now spending nearly ₹6.3 trillion (6 lakh 30 thousand crores) every year on study abroad. This is 2% of India’s GDP. 

Astonishing…right. It is not just some random data…it is the transformation. From aspiration to strategy, the mindset of students has shifted. It indicates one thing very strongly: This ₹6.3 trillion is not just a financial outflow but it’s a generational pivot.

Indian students are comparing their options with most global exposure and countries are competing for them. Universities are tailoring the policies. Parents are investing in the study abroad plan with the same seriousness that was once reserved for property or business ventures. 

The decoding stands firm, the confidence in abroad education has increased, shifting it from Plan B to the mainstream education path. 

From where we, Select Your University, stand…this is not just growth. It’s a movement. And it becomes worth noting when Four Leading Countries are Toughening Visa Policies and Costs 2026.

Emerging Destinations of Study Abroad:

• MBBS in Georgia Becomes the No.1 Choice for Indian Students: RBI Confirms 387% Growth
• Georgia Emerges as India’s New MBBS Hub Amid the Russia–Ukraine War
• France Visa-Free Transit Launched as France Targets 30,000 Indian Students
• Germany and India Education Ties for HE
• First India–Uzbekistan Medical Technology Conference: Profi University Welcomes Indian Students

Rising Education Abroad: What the Data Shows

The delegate included many esteemed guests. Shashank Shah, Director (NITI Aayog Senior Specialist in Viksit Bharat Perspective Planning and Visioning) said:

RBI’s Liberalised Remittance Scheme (LRS) foreign exchange outflows have increased 2,000% in past decade.

Reports showed study abroad remittances declined to the lowest in eight years in 2025. But the spending is still in trillions. 96% of Indian students still study in the country. But the ratio is striking:

Related Reads: Canada Records Sharp Decline in International Student Entries

Why Are Indian Students Choosing Study Abroad?

Study abroad for Indian students is growing. Thanks to:

• Global exposure 
• International degrees
• Better research ecosystems
• Skill-based Teaching
• Innovation-driven programs
• Higher earning potential
• Immigration and career pathways

Adding a cherry on the top, Finance Minister Nirmala Sitharaman reduced the Tax Collection at Source (TCS) to 2% on education-related remittances under the LRS. 

Many scholarship opportunities become decisive in the study abroad journey:

• Ireland Scholarships 2026: Fully Funded 
• World Bank and Japan Launch 2026 Scholarships
• University of Birmingham Future Skills Scholarship for Indian Students
• British Council UK STEM Scholarships for Women

Global Opportunities Within India: The Policy Response

The rising overseas spend presents more insights that we can actually see. When THE World University Rankings 2026 were released, it highlighted the need for internationalisation of the Indian Education System. And this ₹6.3 trillion spend makes the need more severe. Somewhere, India is lacking in satisfying its own students' basic education rights. 

Let’s look at the present scenario, 

• India’s higher education system serves: 45 million students
• Gross Enrolment Ratio projected: 50% by 2035
• The government aims to attract: 1.1 million international students by 2047

With the last point in mind, even a modest 1% increase could add 800,000 students in international enrolment.

Some Favourable Developments:

• India Invites Canadian Universities to Open Campuses Locally 
• Education Gets a Bigger Slice in Union Budget 2026: Funding Up 8.2%

What NITI Aayog has proposed:

• A one-stop shop for international students
• Simple visa processes
• Easy student mobility
• Encourage foreign universities to set up campuses in India
• A flagship Vishwa Bandhu scholarship program
• A proposed $10m sovereign wealth fund
• Global alumni ambassador networks

The focus remains on internationalisation at home.

UK–India Education Collaboration Expands

Currently, the UK is coming up with major policies to align itself with India’s education reforms. Alison Barrett, Director, British Council India, said at the conference that the UK–India Vision 2035 and UK–India Education Ministerial Dialogue will solidify bilateral education mobility. UK’s International Education Strategy has kept India at the centre stage. 

What is the idea behind the shift in the learning landscape?
The global race to aply an gravitational pull for Indian students is getting pronounced than ever.

Many countries are also taking a slightly different stance:

Foreign applicants barred from Georgian public universities as policy shifts

NEP and Innovation: From Job Seekers to Job Creators

Keynote speakers clarified that the National Education Policy (NEP) is changing with the focus shift. Now the goal is bigger than just the employability. Its entrepreneurship and research leadership.

Now, India is:

• Rolling the MERITE program across 250 polytechnics
• Expanding global skill alignment
• Sending cohorts for semiconductor training in Taiwan
• Strengthening IIT, NIT, and IIIT innovation ecosystems

What This Means for Students Planning Study Abroad

This data is important for students who want to study abroad. The numbers show:

• Strong global demand
• Government support for overseas remittances
• Easier financial compliance under LRS
• Global partnerships on rise

India is also working to bring world-class campuses and international programs at home. So the choice is yours. What do you prefer? Going abroad or international education at home. But the outcome is one: You will go global anyway. 

The Bigger Picture

India’s study abroad spending of ₹6.3 trillion is not just a number. It is the ambition of Indian students who want something greater than just an employments…a global credential. 

A lot of geopolitical tensions and economic slowdowns persist today. And education is not foreign to these upheavals. With stronghold countries like the USA, UK tightening their grip on international student admission, some strong alternatives are booming. The Indian government is also making favourable changes in its policies.

The world is transforming and so is the education abroad ecosystem.