International student spending in the U.S. this fall could drop by $1.1 billion because of declining enrollment, according to a new report.
The Association of International Educators (NAFSA) in partnership with JB International say the numbers are based on a 17% drop in international student enrollment, largely due to federal policy changes.
Just one year ago, spending by international students enrolled in the United States rose to a record $43 billion. This fall’s expected decline is the first recorded decrease since the impact of COVID-19.
The loss isn’t just in dollars: That money translates to 23,000 lost jobs. Texas is hit especially hard — it has the 4th largest amount of economic activity by international students among all 50 states. It’sprojected to see $64.6 million less in spending this fall.
International student enrollments began to drop earlier this year after Trump administration officials cancelled thousands of student visas, then, weeks later, reinstituted them.
At that point, fear gripped many international students who were either in the U.S. wondering about the future of their education or had considered enrolling in the U.S. from overseas. Some North Texas schools in their 2026 budgets estimated they'd lose hundreds of students and millions of dollars in revenue.
Fanta Aw, NAFSA executive director and CEO, said in a news release announcing the report the U.S. ignores these projected enrollment declines of international students at our own peril.
“Other countries are creating effective incentives to capitalize on our mistakes,” Aw said. “The United States must adopt more proactive policies to attract and retain the world’s best and brightest and recognize that post-study work opportunities are essential to our standing as the top destination for global talent.”
Otherwise, she said top international talent will choose to study elsewhere, hurting “our economy, excellence in research and innovation, and global competitiveness.”
Solutions Aw would like to see include improved visa availability for international students. She also suggests exempting students from travel bans affecting 19 countries – including Burundi, Venezuela and Sudan -- while maintaining background checks and vetting required for visas.
Bill Zeeble is KERA’s education reporter. Got a tip? Email Bill at bzeeble@kera.org. You can follow him on X @bzeeble.
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