RBI Governor Warns: US Economy at Risk Without Foreign Students

Former RBI Governor Warns of Long-Term Risks to US Economy if International Student Influx Decreases Raghuram Rajan, the former governor of the Reserve Bank of India, has voiced concerns about the potential long-term negative impact on the US economy if the number of international students attending American universities declines. In a recent interview, Rajan argued that these students have historically been a crucial source of innovation and economic growth, stating, “The Sergey Brins of the world came as students and did wonders for the US economy.” Rajan's warning highlights the potential consequences of political actions that could discourage international students from studying in the US. He points out that universities themselves haven't done enough to highlight their vital role in the US's economic future, both in broader education and especially in elite institutions where much of the nation's research and development occurs. He emphasizes the need for universities to make a stronger case for their importance. Rajan concludes by stating, “If you start killing that, you’re killing what is essential about the United States.” The situation underscores the complex interplay between politics, education, and economic prosperity. The potential loss of a significant talent pipeline poses a serious long-term threat to the US economy, emphasizing the need for proactive measures to maintain and enhance the country's attractiveness to international students.