India is emerging as one of the world’s most attractive destinations for global higher education expansion, with foreign universities potentially saving the country US$113 billion in foreign exchange outflow, serving over 560,000 students, and generating 19 million sq ft of education-linked real estate demand over the next 15 years, according to a joint report by Deloitte India and Knight Frank India.
The study, titled “Global Universities Eye India Opportunity: The Next Big Leap in Higher Education,” was presented to Union Education Minister Dharmendra Pradhan and highlights how India’s demographic scale, policy reforms and urban ecosystem are converging to create a once-in-a-generation opportunity for international universities.
India’s Demographic Advantage Fuels Global Interest
India currently hosts the world’s largest higher-education-age population, estimated at 155 million, which is projected to rise to 165 million by 2030. With the country targeting a Gross Enrolment Ratio (GER) of 50% by 2035, domestic capacity is struggling to keep pace with demand, forcing hundreds of thousands of students to pursue education overseas every year.
Tightening visa regimes in traditional education destinations such as the US, UK, Canada and Australia have further accelerated interest among global universities to establish long-term campuses in India, offering globally recognised degrees at significantly lower costs.
NEP 2020 Unlocks Independent Foreign Campuses
The report underscores the role of NEP 2020, alongside regulatory frameworks introduced by the UGC and IFSCA, in enabling foreign universities to operate through offshore campuses, joint ventures and transnational education models.
So far, 18 foreign universities have received in-principle or final approvals, with three campuses already operational, signalling strong early momentum. Policy support through tax incentives, liberalised norms and proposed single-window clearance mechanisms is further accelerating interest.
Sahil Gupta, Partner, Deloitte India, said India offers global universities a rare mix of cost efficiency, policy clarity, R&D depth and talent availability, making it an attractive alternative amid rising geopolitical and immigration uncertainties worldwide.
US$113 Billion Forex Savings and Major Real Estate Impact
By 2040, foreign universities operating in India could:
- Educate over 560,000 students
- Save US$113 billion in forex outflow
- Generate demand for 19 million sq ft of specialised education infrastructure, including academic buildings, research labs, student housing and innovation hubs
This expansion is expected to catalyse new real estate development across knowledge clusters, strengthening India’s education-led urban growth.
Top Cities for Foreign University Campuses
The report introduces a city readiness framework assessing 40 Indian cities on parameters such as talent availability, infrastructure, global connectivity and research ecosystems.
Top-performing cities include:
- Delhi NCR – most prepared destination
- Bengaluru
- Mumbai
- Pune
- Chennai
- Hyderabad
- Ahmedabad
Tier II cities such as Chandigarh and Kochi also show strong mid-scale readiness, offering cost advantages and emerging academic ecosystems.
Shishir Baijal, Chairman and Managing Director, Knight Frank India, said the entry of global universities will elevate academic quality, deepen research collaboration and unlock significant economic and real estate value across India’s innovation ecosystem.
Towards a Global Education Hub
The report concludes that the entry of Foreign Higher Educational Institutions (FHEIs) is not just an education reform but a strategic economic lever. It will strengthen industry-academia linkages, boost talent retention, and position India as a globally competitive education and research powerhouse.
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