Canada continues to be the most preferred destination for international students, particularly among Indians. According to Statistics Canada, Indian students accounted for 41% of all study permits issued in Canada by 2022.
A recent Student Pulse Survey (Spring 2025) by edtech firm ApplyBoard further supports this trend, with 94% of respondents still choosing Canada as their top study destination. Despite recent visa restrictions and diplomatic tensions, factors like high-quality education, post-study work opportunities, and affordability continue to make Canada an attractive choice.
However, the survey also highlights a growing diversification in student preferences, with destinations like Germany, Ireland, Denmark, Finland, and Nigeria gaining traction.
Impact of India-Canada Diplomatic Tensions on Student Mobility
The diplomatic standoff between India and Canada in late 2023 had immediate repercussions on student exchanges. Study permits issued to Indian students plummeted by 86% in Q4 2023 compared to the previous quarter, dropping from 108,940 to just 14,910.
In early 2024, Canada introduced a 35% cap on new international student visas, limiting permits to 364,000. Additionally, financial requirements doubled, increasing the minimum funds needed beyond tuition fees from CAD 10,000 to CAD 20,635. These changes have particularly impacted middle-class Indian families, making it even harder to secure larger education loans.
Trends in Indian Student Mobility to North America (2023-2025)
Data from India’s Ministry of External Affairs (MEA) paints a complex picture of Indian student mobility:
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Indian students in the US: Dropped from 234,500 in 2023 to 204,000 in 2024 (a decline of 30,000).
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Indian students in Canada: Fell from 233,500 in 2023 to 137,600 in 2024 (a significant drop of 95,900).
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Overall preference for North America: Despite the decline, the US and Canada still host 72% of Indian students abroad (2024 data).
Canada’s Resilient Appeal in Higher Education
The Spring 2025 Student Pulse Survey reaffirms Canada’s status as the most sought-after study destination, with 94% of students still interested in studying there.
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Affordability remains a major factor, with 77% of students prioritizing cost-effective options.
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Rising costs have prompted 25% of students to reconsider their initial study choices, exploring more affordable provinces or institutions within Canada or alternative destinations.
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Postgraduate studies are gaining popularity, with interest in doctoral programs increasing by 4 percentage points compared to Spring 2024 data.
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Traditional study destinations (Australia, Canada, Germany, Ireland, UK, US) remain dominant, with 65% of students preferring these locations, up from previous years.
Emerging Study Destinations in 2025
While Canada, the US, and the UK remain the top choices, several new destinations are gaining attention:
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Denmark: Offers a high-quality education system, English-taught programs, and a focus on innovation and sustainability.
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Finland: Known for its educational excellence, free tuition for EU students, and relatively affordable costs for non-EU students.
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Nigeria: A rising destination due to investments in higher education, English-language instruction, and cultural diversity.
Germany’s Rising Popularity Among Indian Students
Germany has seen growing interest from Indian students, thanks to its strong academic reputation and quality of life. Factors fueling this trend include:
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Work-Life Balance: Structured academic programs, 35-40 hour work weeks, and 30 days of annual leave allow students to manage stress effectively.
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Affordability: Most public universities offer tuition-free education, making Germany a significantly cheaper alternative to the US and UK.
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Financial Independence: The ability to take up part-time jobs and internships helps students cover living expenses without heavy financial pressure.
Conclusion: The Future of Study Abroad Trends
Despite temporary setbacks due to visa caps and rising costs, Canada remains the top choice for Indian students. However, shifting trends indicate a growing interest in alternative destinations like Germany, Denmark, and Finland.
As student preferences continue to evolve, affordability, post-study opportunities, and quality education will remain the key factors shaping the future of international education mobility.