International student interest in studying in the United States and Canada has fallen sharply, according to new data from IDP Education, a global leader in international education services. Inquiries for U.S. universities have dropped by more than 46% over the past year, while Canadian institutions have seen a staggering 75% decline in interest over the last two years.
Officials attribute the downturn to a combination of geopolitical tensions, economic uncertainty, and significant changes to post-study work visa policies. These factors are prompting many prospective students to consider alternative destinations like the United Kingdom and Australia, where demand remains strong.
Key Takeaways
- Student inquiries for U.S. universities fell by 46.4% in the last 12 months.
- Interest in Canadian universities has decreased by approximately 75% over a two-year period.
- Factors include geopolitical uncertainty in the U.S. and restrictive new post-study work policies in Canada.
- The United Kingdom and Australia are benefiting, with Australia planning a 9% increase in student intake.
A Major Shift in North American Student Interest
Recent figures highlight a significant change in preferences for international students. Data from IDP Education shows a dramatic cooling of interest in two of the world's most popular study destinations. The decline is not a minor fluctuation but a substantial trend observed over recent months and years.
Specifically, inquiries for studying in the United States saw a 46.4% decline in May of this year compared to the same month last year. This sharp one-year drop suggests a rapid response from students to the current climate in the country.
Canada's Two-Year Decline
The situation in Canada is even more pronounced. Over the last two years, student inquiries have plummeted by an estimated 70% to 75%, indicating a sustained loss of appeal driven by a series of policy and economic changes.
Piyush Kumar, Regional Director at IDP Education, noted that these shifts are directly linked to external pressures affecting both countries.
Uncertainty and Politics Impacting US Applications
According to Kumar, the geopolitical environment is a primary driver of the decline in U.S. inquiries. He explained that political uncertainty, particularly during an election year, often leads to a more cautious approach from both students and visa-issuing authorities.
"If we talk about the geopolitical situation, I think primarily it concerns the US and we have seen that in the last... 6 to 12 months, the situation has obviously impacted the plans of students who are planning to go to the US," Kumar stated.
He added that a decrease in visa approval rates is a typical pattern during U.S. election cycles. However, the current political discourse surrounding potential policy changes has amplified this effect, creating what he described as a "dampener" on student enthusiasm.
About IDP Education
Founded by the Australian government in 1969, IDP Education is a global organization that assists students with studying abroad. It offers services for university selection, application processing, and visa guidance for destinations including Australia, Canada, the UK, the US, Ireland, and New Zealand. IDP also co-owns and administers the IELTS English proficiency test.
Canada Faces Compounding Challenges
Canada's decline in popularity is the result of several converging issues that began with a diplomatic dispute between the Canadian and Indian governments. This initial event was followed by economic and policy changes that have directly affected international students.
Post-Study Work Rights Restricted
A critical factor has been the Canadian government's decision to limit post-study work rights. These rights are now available for only six specific academic streams, a significant reduction from previous policies. This change has made Canada a less attractive option for students in other fields who hope to gain work experience after graduation.
"People think that this is not the right time to go to Canada because they have limited the post-study work right... a lot of students think that if they go and study something else, there is no post-study work and they will have to come back," Kumar explained.
The Canadian government has indicated these measures will remain in place until at least 2027, suggesting that the market for international students may remain subdued for the next few years.
Economic Pressures
Economic challenges have also played a role. Kumar pointed out that U.S. tariffs have impacted the Canadian economy, as approximately 80% of Canada's exports go to the United States. This economic instability adds another layer of concern for prospective students and their families.
UK and Australia Emerge as Stable Alternatives
While North America sees a downturn, other English-speaking destinations are holding steady. According to IDP Education, demand for studying in the United Kingdom and Australia remains robust. The number of students choosing these countries is described as "absolutely intact."
Australia, in particular, is actively managing its international student population for growth. The Australian government has formally announced its intention to increase its student intake by 9% this year compared to the previous year. This policy of "managed growth" signals a welcoming and stable environment for students looking for alternatives to the US and Canada.
Each year, IDP helps nearly 100,000 students enroll in over 800 partner universities worldwide, giving the organization a clear view of global education trends.
Adapting to a Changing Landscape
In response to the evolving market and student needs, IDP Education is focusing on enhancing its services through technology. The company is investing in its digital infrastructure to streamline operations and improve the guidance it provides.
"Currently, we are working on strengthening our technology stack because we think that tech can play a big role in terms of running our operations," Kumar said. He also revealed that IDP is developing artificial intelligence tools designed to help both students and counselors navigate the complex process of studying abroad more effectively.
With 73 offices across India, IDP continues to guide students through every step, from course selection to pre-departure planning, adapting its strategies to meet the demands of a rapidly changing international education landscape.