Fitch Ratings on Thursday issued a “deteriorating” outlook for the U.S. higher education sector for 2026, citing a shrinking college‑age population, rising cost pressures and uncertainty around state and federal support. The analysts flagged new federal rules — including graduate lending limits and potential shifts in research funding — as headwinds for tuition‑dependent institutions. Fitch singled out schools that rely heavily on international tuition and full‑pay graduate students, warning that preliminary fall 2025 enrollment surveys show weaker international graduate demand. The ratings firm said outcomes will be uneven across the sector, with community colleges and some public systems better positioned than many private nonprofits. For college finance officers and board members, Fitch’s assessment signals mounting pressure on reserves, liquidity planning and debt strategies as enrollments and revenue streams face near‑term declines.