Global Interest in U.S. Master’s Falls by 60%

For decades, a U.S. master’s degree was the golden ticket for ambitious young people across the globe. From Karachi to Kathmandu, from Lagos to Lima, students dreamed of walking across an American stage in cap and gown, ready to step into jobs at Silicon Valley firms, Wall Street banks, or global research labs.

But that dream is slipping away. New data shows that international interest in U.S. master’s programs has dropped by nearly 60% in 2025. For universities, this is more than a numbers game, it’s a warning sign that America’s magnetic pull as the top study destination is weakening fast.

A Sudden Decline

The figures are startling. A global study by education platform Studyportals reveals that searches for U.S. master’s programs fell by more than half this year compared to 2024. Countries that have historically sent thousands of graduate students, India, Pakistan, Nepal, and Iran, are showing the sharpest declines.

The situation is already visible on campus. DePaul University in Chicago, for instance, reported a 62% drop in new international graduate enrolments this fall. Other institutions are quietly admitting similar numbers: half-empty classrooms, residence halls with spare rooms, and professors worried about losing the global talent that fuels their research.

Why Are Students Turning Away?

Ask students, and the answers are surprisingly consistent.

1. Visa Uncertainty

“Why would I spend $40,000 a year if I’m not sure I can even stay after graduation?” says Ayesha, a computer science graduate from Lahore who recently shifted her applications to Canada. 

The Trump administration’s proposed limits on OPT (the post-study work program) and higher hurdles for H-1B work visas have spooked families worldwide.

2. Rising Costs

For many, the math just doesn’t add up. Tuition fees of $30,000–$60,000, plus living expenses, mean a U.S. master’s easily costs over $100,000. With no guaranteed job pathway, families are questioning whether the investment is worth it.

3. Friendlier Alternatives

Other countries have been quick to seize the moment. The UK and Ireland have seen a 16% surge in international student interest this year. Germany, Australia, and Sweden are also pulling students with lower costs, streamlined visas, and post-graduation work guarantees. 

“I applied to Dublin instead,” says Sunil, an engineering graduate from Nepal. “The visa process was faster, the fees lower, and I can work there for two years after graduation.”

The Ripple Effect on U.S. Universities

For American universities, the plunge hits hard. International graduate students don’t just bring diversity; they bring in billions of dollars in tuition. Many programs rely on them to keep running.

At DePaul, the drop has already forced budget cuts and a hiring freeze. Analysts warn that smaller universities, especially those outside the Ivy League, could face serious financial strain if the trend continues.

But the impact isn’t just financial. In fields like engineering, computer science, and AI, international students often make up the majority of graduate cohorts. 

A sharp decline means fewer researchers in labs, fewer teaching assistants in classrooms, and fewer ideas feeding America's innovation pipeline.

Local Communities Also Feel the Pinch

Beyond campus walls, international students support local economies. They rent apartments, buy groceries, eat out, and contribute to cultural life. 

A sudden decline means emptier cafes in college towns, lower demand for rentals, and a quieter buzz in multicultural neighborhoods.

According to NAFSA, the international education association, a 30–40% drop in international enrolments could cost the U.S. economy up to $7 billion and more than 60,000 jobs. For cities like Boston, Chicago, or Los Angeles, where universities are major employers, the effects could ripple widely.

A Shift in Global Talent Flows

The most worrying impact is long-term. For decades, the brightest young minds flocked to the U.S., contributing to its reputation as the hub of global innovation. If they now choose Europe, Canada, or Australia, the balance of talent could tilt.

This isn’t just about universities, it’s about global influence. Students who spend years in a country often build lifelong ties. They become alumni, partners, and ambassadors. 

A decline in foreign students means the U.S. risks losing not just tuition dollars, but also soft power and global networks.

Voices from the Ground

“It used to be a no-brainer. If you could afford it, you went to the U.S. Now, families are asking: is it worth the risk?”
— Education counselor in New Delhi

“I wanted to do a master’s in biotechnology in Boston. But my parents insisted I apply to Germany instead. They said, at least you’ll know what to expect.”
— Fatima, prospective student from Karachi

“This is about trust. Students want certainty. Right now, the U.S. isn’t offering it.”
— Edwin van Rest, CEO, Studyportals

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Can the U.S. Turn It Around?

Experts say the U.S. still has advantages: world-class universities, cutting-edge research, and powerful career networks. But unless policy stabilizes, perception may keep driving students away.

Possible fixes include:

• Protecting or expanding OPT so students can work after graduation.

• Clearer, friendlier visa processes.

• More scholarships and financial support.

• Marketing campaigns to rebuild trust globally.

But even if changes happen, rebuilding momentum may take years. Once students start choosing Dublin, Berlin, or Toronto, those destinations become part of the aspirational landscape.

A New Era for Global Education

The 60% plunge may mark more than just a bad year, it could signal the end of the U.S.’s uncontested dominance in graduate education. Just as Britain once ceded that role to America in the 20th century, the U.S. now risks losing ground to new centers of learning.

For students, it means more choices, and perhaps more affordable, less risky ones. For U.S. universities, it means a reckoning. They must ask: what do we offer the world, and how do we keep the next generation of talent believing in the American dream?

For now, the numbers tell a stark story: the dream is fading, and students are voting with their feet.