NEW DELHI — A controversial policy shift by the Trump administration requiring green card applicants to return to their home countries for processing has sparked fierce opposition from US lawmakers and immigration advocates, potentially disrupting the lives of 1.2 million Indian Americans currently awaiting permanent residency.

The policy change, described as reckless by critics, could significantly impact India's economy through multiple channels. Indian nationals constitute the largest backlog in employment-based green card categories, with many having waited over a decade while contributing to US firms on temporary work visas.

The economic implications extend beyond individual families. India received $125 billion in remittances in 2023, with the US being the largest source country. Any disruption to the status of high-earning Indian professionals could compress these flows, affecting consumption in metros and tier-two cities alike.

Technology sector stakeholders expressed concern about potential talent reverse-migration. Several Indian IT firms and startups could benefit from returning professionals, though the forced nature of such moves creates uncertainty. Immigration advocates termed the policy harmful to families and businesses dependent on skilled workers.

Bihar, which sends thousands of students and professionals to the US annually, faces indirect impact through reduced aspirational migration pathways.