Remittances by Indian nationals for overseas education dropped to a five-year low of $138.8  million in June 2025, according to a Times of India report. The decline comes as countries tighten restrictions on Indian students. 

Sharp decline in remittances

The June 2025 figure is almost half the $314 million average recorded over the past five years and far below the peak of $718 million in September 2021. While education spending has dipped, travel-related remittances remain high at more than $1 billion, above the five-year average. Overall outward remittances stood at $2.1 billion, the lowest since February 2025.

According to a report by The Economic Times, Hariprasad MP, Executive Director and Business Head at Ebix World Money, said student remittances have dropped significantly due to visa restrictions in major destinations. “We are seeing student remittances down by 10–15 per cent, largely due to the US and Canada. Our US student remittances are down nearly 30 per cent from a year ago because of visa restrictions. Canada is also lower. The UK has been the biggest gainer,” he said, adding that Australia too has imposed restrictions on student inflows.

Stricter rules across destinations

In 2025, several preferred education hubs, including Australia, Canada, the US, and the UK, have introduced tougher visa and enrolment criteria. These measures have directly impacted Indian students, leading to reduced remittances for overseas education.