Hyderabad: For many Indian students, studying abroad is a dream. The number of students pursuing higher education in the US, the UK, Canada, Australia and Germany is increasing, and so are their challenges. These students are facing crippling loan debts, fewer job opportunities and rising living costs.
While prestigious universities may promise employability, the remaining institutions don’t offer any cover. With this, most of the students are struggling to secure stable careers and repay loans.
Anula, who completed a masters in fashion and textiles from the University of Edinburgh, shares her frustration. “Despite studying a strong course with excellent faculty, I could not find a decent job that allows me to repay my loan and save money,” she said. Anula points out that when students send their CVs to companies, an AI software often filters and rejects those with Asian-sounding names. “There are no campus placements either, so students have to find jobs on their own,” she added.
She had researched universities offering her course and chose the UK over the US for financial reasons. However, after taking a Rs 33 lakh loan and working part-time in a clothing company during her studies, the reality did not match her expectations. “I earned around £600 a month, but £450 went towards rent. There was little left for loan repayments,” she explained.
Moreover, she could not foresee the rising sponsorship costs, which increased from £29,000 to £39,000 in just two years of her stay. In the UK, US and Canada employers need to pay the sponsorship fees to hire students and get them full-time work permits.
Another financial challenge she faced was the dynamic interest rate on her loan. “The interest rate was 8.9 per cent when I took the loan, but by the time I started repayment, it was 10.5 per cent,” she lamented. Moreover, the RBI’s policy of lump-sum disbursement meant she could not save on interest by withdrawing the loan in parts.
Ameya Bhat, another student at the University of Edinburgh, had a similar experience. He pursued a course in international business management with a placement. While he has job offers, his experience of appearing for interviews highlights how employers are hesitant to hire Indian students.
“I attended interviews where employers told me they don’t hire Indian students because they don’t fit the work culture or skill requirements. This was despite them having an on-job training programme in place,” he recalled. Like Anula, Bhat struggled due to a lack of guidance on job opportunities before arriving in the UK, losing crucial months in the process.
Simran Babbar, a public relations graduate from Conestoga Doon in Canada, had an equally tough experience. “Studying in Canada felt like a dream initially, but the reality is different now,” she said. “I have witnessed long queues of students applying for a single position at Tim Hortons,” she recollected.
With part-time wages of only CA$16-17 an hour and a housing crisis causing rent prices to soar, covering basic living expenses became a major challenge for her. Moreover, with new laws limiting work permit extensions, many students feel trapped. “The Canadian government has taken large sums of money from students with little hope for jobs or permanent residency. It’s no longer the land of opportunities,” Simran lamented.
