As with China in the 2010s, the West is waking up to the reality that India’s “emerging economy” classification is hardly enough to describe the country’s current geopolitical and innovative power. India was the world’s fastest-growing economy last year, with its +7.5% expansion beating that of the US, China, Germany, and Japan. This high rate of growth has been sustained for four years, and at a time when the world’s largest economies struggle to maintain even moderate growth. The IMF predicts that India will nudge Japan out of its standing as the #4 largest economy in 2026 after displacing the UK from the top 5 in 2022.

India, like China, has cultivated an eclectic mix of political and economic alliances across multiple regions. It is as likely to partner with the US as with Russia, and it works closely with France, Germany, Japan, and Australia on joint goals in the spheres of military, technology, and trade. In 2026, India has renewed ties with Canada under Prime Minister Mark Carney after a years-long diplomatic rift.

Higher education has become another area of strength: the number of top-ranked Indian higher education institutions is growing. In the 2026 QS world ranking, 54 Indian institutions were featured. This is five times as many as in 2015.

For all these reasons – as well as US President Trump’s dismantling of the post-WWII world order of alliances – India is an increasingly coveted trade and education partner. It is now negotiating from a very different position than it has historically: a position of strength, as an equal partner.

This is nowhere more evident than in international education. India is no longer just a source of students for the Big Four (Australia, Canada, UK, and US) – it is ever more a country with which the Big Four partner under mutually beneficial terms.

This reality is well illustrated by the warming India-Canada relationship in 2026.

The Canada–India Talent and Innovation Strategy

In February 2026, representatives from 20 top Canadian institutions travelled to India to explore partnerships centred on common areas of interest and specialisation with Indian counterparts. There, the was launched by Universities Canada and Colleges and Institutes Canada (CICan). Notably, Prime Minister Carney as well as Foreign Minister Anita Anand were present in Mumbai for the official launch, signalling the importance of the Strategy to Canada.

Out of that event alone, 13 new MOUs were signed (see ). Collectively, the MOUs cover student and faculty exchanges; joint academic programming; dual credentials; embedded work experience; post-study progressions into jobs; research collaboration including potential TNE arrangements and STEM projects such as clean energy and AI; and pathways from Indian programmes to Canadian programmes.

The collaborative approach signalled by the new Strategy is more than evident in the statements prepared by Minister Anand and Universities Canada President Gabriel Miller. Count the number of times “partner” or “partnership” appear in their quotes:

Minister Anand: “Canada and India are natural partners in education, innovation and research. Canada welcomes the new Canada–India Talent and Innovation Strategy that will create opportunities for students and researchers, drive economic growth, and reinforce the strong people-to-people ties that connect our two countries.”

Mr Miller: “This is a new chapter in a very important relationship, and it demands a new partnership on higher education and research, which is vital to the future of both our countries. We are building the foundations of a long-term partnership that will create good jobs, better incomes and communities that can thrive in a highly competitive global economy.”

An invitation to ambassadors

Also in February, Indian Education Minister Dharmendra Pradhan addressed the Study in India Edu-Diplomatic Conclave 2026 in New Delhi. In attendance were ambassadors, high commissioners, and diplomats from over 50 countries. With Indian officials, participants discussed strengthening international cooperation in higher education.

As per an article in The Hindustan Times: “[Minister Pradhan] called upon the Excellencies to collaborate with India's fast-growing, innovation-driven, multidisciplinary and access-friendly education system.”

Minister Pradhan told the assembly that “Indian institutions are deepening global engagement through joint, dual and twinning programmes, while premier universities are expanding their international footprint.” He made particular mention of the Global South and distanced it from its colonialist interpretation: “From artificial intelligence, biotechnology and semiconductors to sustainable energy, India is emerging as a trusted innovation partner, advancing a Global South model rooted in collaboration, capacity-building and shared knowledge.”

The foreign diplomats were told that India’s previously unstructured and unregulated environment for branch campuses has been replaced with “a transparent and time-bound regulatory framework” that has seen top institutions in Australia, Italy, the UK, and the US cleared within a month.

A redefinition of India

Canada’s flurry of education and research agreements with India are but an example of momentum in the Big Four to move from a purely recruitment-focused model – i.e., enrolling Indian students at home – to a partnership model. In recent months, the UK, Spain, and Australia have all sent similar delegations to build new partnerships in India.

The shift happens as:

• The number of Indian students studying abroad in 2025 fell by -5.7% compared with 2024, according to India’s Ministry of External Affairs;
• The number of first-time Indian students in UK institutions fell -12% in 2024/25, the second year of decline;
• In Australia, Indian commencements were down -8% in January–September 2025;
• In the first half of 2025, Canada granted 9,995 study permits to Indian students – down from 76,930 in the same period in 2024 and 149,875 in 2023;
• In the US, F-1 visas issued to Indian students fell by -44% in the first half of 2025 versus the first half of 2024.

For additional background, please see:

• “The number of Indian students abroad fell in 2025"
• “The UK is quickly expanding its TNE footprint in India”