Demonetization to Impact Students Going to Study in the USA

If the demonization process of Indian Government has affected the common people it has also affected the students going to abroad for studying particularly to the USA. As per the latest data released by the Student and Exchange Visitor Program (SEVP), which is part of U.S. Immigration and Customs Enforcement (ICE), said that India and China are the two prominent sources of International students coming to America. All the American colleges and Universities enrolled around 202,000 students from India and all total 314,000 from China.

Also Read: Students of IIM Raipur Hail Demonetization

But of late there has been a major shift in the number of students coming to USA due to different reasons. It will have serious implications for international enrollment at various Universities and institutions in the USA. Due to the recent slowdown in China, all the institutions in the USA have been banking on India as the next big source of students to meet the goals of enrollments.

But the recent change of monetary policy by Government of India in the form of demonetization can adversely affect the number of students going aboard. On 8 November 2016 the Prime Minster of India Narendra Modi announced a demonetization policy. As a result, the move made 86% of the currency in circulation of the country invalid as a legal tender.

Also Read:Demonetisation: Students Unable to Pay Examination Fee, Exams Scheduled to Begin in a Week

One of the key factors for demonetization was to return black money generated through evasion of tax, end corruption, terrorism and lead the country towards a “cashless economy.” Cash was also the means of short-term borrowing for a maximum number of students of the country.

Visa approval processes for students of other country require showing proof of availability of funds for living expenses and tuition fees. Many Indian students were opting short-term borrowing for education abroad and visa approvals.