Council of Graduate Schools Reports International Applicant Slowdown

Growth in first-time international graduate enrollment in US business programs fell for the second consecutive year, while offers of admission to international applicants by the largest institutions fell a staggering 14%, according to new research by the Council of Graduate Schools.

The slowdown in international first-time enrollment is potentially troubling for US MBA programs, where international candidates have been driving application growth as domestic applications decline at many schools. The continuing slowdown in international applications could eventually force schools to admit fewer or less qualified international applicants.

According to Council of Graduate Schools, first-time international graduate enrollment in US business programs grew by 2% in 2014, down from 6% in 2013 and 15% in 2012. Only one field of study – education, which experienced a 1% drop – fared worse.

What does the future hold for US MBA programs?

First-time enrollment, unlike total enrollment, is an indicator of future enrollment trends in graduate business programs. The programs include all master’s and doctoral programs, including MBAs.

The slowdown in growth in international business enrollment in 2014 was part of an overall slowdown in growth. Total first-time graduate enrollment grew by 8% in 2014, down from 10% last year. Growth was driven primarily by a 27% surge in enrollment by Indian applicants and 91% increase in those from Brazil. Enrollment of candidates from Taiwan, South Korea, China, and Canada all declined.

The Council of Graduate School's report’s findings on international offers of admission were no better. Overall, offers grew by 7%, down from 10% last year, but offers by graduate business programs increased by just 3%, down from 6% in 2013 and 21% from 2012.

That trend was driven primarily by a 14% decline in international offers by the 10 largest institutions, as measured by the number of graduate degrees awarded to international students. Among this group, business was the only field of study where offers declined.

Of courses, trends can be reversed - but these figure will certainly be worrying for the administrators of US MBA programs.