India first, study abroad later: Why more students are choosing to stay home for college

The Cambridge Destination Survey 2025-26 reveals a significant shift in the study habits of Indian students. For the first time, half of the learners in India who were planning to pursue a university degree decided to stay within the country for their undergraduate studies. This is an increase from 47% the previous year, as the share heading overseas for undergraduate study decreased from 42% to 40%.

These changes are not drastic, but they indicate a consistent trend that points toward a fundamental shift in the educational choices of Indian students.

The report, released this week, describes this shift as a "structural shift" rather than a temporary reaction to economic or political pressures. Rod Smith, the Group Managing Director of Cambridge International Education, stated that the definition of value in education is evolving. Students are now evaluating the value of the entire educational pathway, from education to employment to long-term opportunities, rather than just the degree itself.

This shift explains why Indian families are choosing to invest in an international education later in the process, specifically after completing their undergraduate studies in India and pursuing a postgraduate degree overseas.

Indian universities are now becoming the first choice for students, as they offer better-quality private and interdisciplinary programs, foreign university branch campuses in India, and recognition of international qualifications like Cambridge's curriculum. The curriculum allows students to combine subjects across disciplines, resulting in flexible, multidisciplinary combinations in areas like data science, business analytics, and artificial intelligence.

As Indian institutions start to resemble the overseas options previously required for Indian students to study abroad, the decision to stay in India becomes more appealing.

However, the trend is not uniform across South Asia. Sri Lanka stands out as an exception, where outbound demand has remained resilient despite similar cost and visa pressures. The report cites a school counsellor's comment, stating that most Sri Lankan students still prefer studying abroad, but if the cost is too high, they have no other option. This suggests that affordability, rather than preference, is the primary factor holding students back in Sri Lanka, unlike in India, where preference itself is shifting.

The underlying ambition of Indian students remains unchanged. They still possess global ambitions and see their local undergraduate degree as a stepping stone to a foreign postgraduate degree. While interest in destinations such as the US, UK, Canada, and Australia has slightly decreased, the interest has expanded to other countries like Singapore, the UAE, Germany, Japan, South Korea, Ireland, and the Netherlands.

Consequently, it is not accurate to say that Indian students are choosing India over the world. Instead, they are choosing India first and the world second, carefully considering when and why the second move should happen.