India is positioning itself as an emerging force in the global international education market. The government’s primary policy think tank, NITI Aayog, recently outlined a high-growth scenario in which India could host as many as 1.1 million international students by 2047, if major structural barriers are addressed and higher education sector capacity is improved.
Higher education in India
India’s higher education system is already one of the largest in the world, and it is expanding rapidly. According to the latest All India Survey on Higher Education (AISHE), in 2021-22, nearly 43.3 million students were enrolled in higher education institutions in India, up from 41.4 million in 2020-21. This represents a 4.6% increase.
The long-term trajectory is even more striking; since 2014-15, when enrolment stood at 34.2 million students, enrolments have increased by 26.5%. To keep pace with this demand, the number of universities has grown by nearly 60% over the last decade, reaching 1,213 institutions in 2024.
International students in India
While India has traditionally been an exporter of talent, the inbound market is achieving new heights. In a recent parliamentary update, the Minister of State for Education, Sukanta Majumdar, revealed that India now hosts a record 72,218 international students from nearly 200 countries. This represents a significant jump from the 46,878 students recorded in the previous AISHE cycle in 2021-22, highlighting the rapid recovery and growth of inbound mobility following the pandemic. Nepal, Afghanistan, the United States, Bangladesh and the United Arab Emirates are the top source countries.
The NITI Aayog report notes that currently, the ratio of inbound to outbound students is 1:28, with approximately 1.33 million Indians studying abroad in 2024. It positions the strategies outlined in the report as a way to reverse India’s “brain drain”, caused by the Indian higher education system’s focus on promoting international exposure through outbound student mobility.
International Student Growth Trajectories
The NITI Aayog report outlines multiple projection scenarios for international student growth:
- Compound annual growth rate (CAGR) benchmarking: Using CAGR benchmarking with conservative lower bounds and aspirational upper bounds suggests reaching 85,000-130,000 international students by 2030, expanding to 123,000-244,000 by 2035, and potentially 300,000-1.1 million by 2047.
- International intensity pathway: An “internationalisation intensity” model using global benchmarking standards projects 150,000 students by 2030, accelerating to 359,000 by 2035, and approaching 789,000 by 2047.
The growth of foreign branch campuses
Foreign universities establishing Indian campuses represent a significant shift in India’s higher education landscape, offering international credentials to domestic students while enhancing the country’s global educational profile and attractiveness to international students.
Australia’s Deakin University and the University of Wollongong have already launched campuses in Gujarat International Finance Tec-City (GIFT City), marking a first for the country. More recently, the University of Southampton inaugurated its campus in Gurugram. Several other universities have now received formal approval and are preparing to open: Coventry University has received in-principle approval for a GIFT City campus (targeting 2026 opening), the University of Liverpool received UGC approval in May 2025 for a Bengaluru campus opening in August 2026, and Western Sydney University received UGC approval in July 2025 for a Greater Noida campus also opening in August 2026.
The supply gap
Market analysis from Colliers India reveals a substantial and growing accommodation deficit in India’s student housing sector, regardless of potential growth in international student numbers. As of 2025, demand for student accommodation stands at approximately 12 million beds, yet institutional capacity remains at just 4 million – creating an immediate gap of around 8 million beds. Looking ahead, with the number of students forced to relocate to pursue their tertiary studies projected to surge from 11.3 million in 2021-22 to 31 million by 2036, this structural imbalance will intensify without significant development of purpose-built student accommodation in major education hubs.
Looking forward
For PBSA investors and developers, India’s roadmap to 2047 presents a case for long-term potential balanced by significant operational complexity. While the current structural deficit of approximately 8 million beds is a powerful driver, the slow entry of institutional capital to date reflects a market still navigating localised challenges, including fragmented land acquisition, complex regulatory frameworks, and nuances in local cultural preferences for housing.
While the current momentum suggests the sector is moving forward, international developers are likely to find strategic local partnerships critical for navigating these “ground-level” realities. As India continues to align its infrastructure with its global education ambitions, there is an opportunity to fill a supply gap and help define the evolving standards of organised student living in a uniquely diverse market.
