For years, studying abroad has been a dream for many Indian students looking for better career opportunities. But a combination of strict visa rules, a weak job market and a falling rupee is making that dream difficult to achieve.According to education experts, Indian students are facing financial uncertainty as traditional destinations like the US, UK, Canada and Australia have strict immigration policies and offer fewer employment opportunities after graduation.Sudhanshu Kaushik, founder of the North America Association of Indian Students in Washington, said many students are finding that the reality abroad is different from their expectations.“They come hoping to get skilled jobs in the fields they’ve trained for and end up working in the gig economy. Before, that work would help finance their education. Now many are graduating and doing it full-time,” Kaushik told the BBC.India remains the largest source of international students in the world, with more than 1.2 million Indians enrolled in foreign higher education institutions in 2025.Sushil Sukhwani, founder of Advice International, said the number of students in the UK and US has already reduced significantly.He said, “The market is clearly showing signs of recession. We have already seen a 20% decline in enrollments in the UK and US over the last two years, and I expect a 10-15% decline from those levels going forward.”Strict visa rules are playing a major role. In the UK, 76% of universities reported a decline in Indian student enrollment during January admissions. In the US, enrollment is expected to decline by about 7% between February 2025 and February 2026.Despite the challenges, demand for international education remains strong overall. However, experts have warned that countries like the US and UK risk losing one of their most important student populations.“Currency depreciation, the job market, the rise of AI, visa issues and the policies of the current (Donald Trump) administration have combined to create a perfect storm. Nobody wins,” Kaushik said.“Students suffer, universities suffer, college towns suffer and the broader economy suffers.”He said: “We are rolling back the gains we have made in promoting higher education as one of our most influential and profitable forms of soft power.”