Canada 🇨🇦 is facing a sharp and ongoing drop in international student numbers, with the Canadian Bureau for International Education (CBIE) warning that the situation is getting worse in 2025. The country’s new study permit rules, introduced in 2024, have led to far fewer approvals than expected, causing big problems for schools, students, and the wider economy.
In 2024, Canada 🇨🇦 issued just 263,610 new study permits, which is almost 100,000 fewer than the government’s target of about 360,000. The approval rate for study permits fell to just 48%, much lower than the 59.8% seen in 2023. Early data from 2025 shows the decline is continuing, with even fewer permits expected to be issued this year. The total number of international students in Canada 🇨🇦 dropped to about 997,800 by the end of 2024, a 4% decrease from the record high of 1,040,000 in 2023.

Why Are Study Permit Numbers Dropping?
The main reason for the drop is a new two-year cap on study permits, introduced by the Canadian government in January 2024. The goal was to reduce the number of new international students by 35% compared to 2023. This policy aimed to ease pressure on housing, healthcare, and other services, and to stop “sham” schools that offered low-quality programs mainly to people seeking permanent residency.
Despite these goals, the actual number of permits issued fell even further than planned. For 2025, the government set a new, lower cap of 437,000 study permits, which is a further 10% cut from the previous year. However, because this cap now includes permit extensions and fewer students are applying, experts believe that as few as 163,000 new study permits may actually be issued in 2025. This would be the lowest number since 2016, not counting the pandemic years.
Who Is Most Affected by the Changes?
Indian students have been hit especially hard. In the first quarter of 2025, the number of study permits issued to Indian nationals dropped by 31% compared to the same period in 2024, falling from 44,295 to about 30,650. Since Indian students made up over a quarter of all international students in Canada 🇨🇦 in 2023, this drop is very significant. Students from Nigeria and the Philippines have also seen big declines, with permit numbers down 29% and 27%, respectively.
These changes are affecting not just students, but also the colleges and universities that rely on international tuition fees. Many schools, especially in Ontario, have started laying off staff as their budgets shrink. Reports suggest that about 10,000 jobs—including faculty, administrative, and support roles—have been impacted so far. Some programs have been suspended, and the financial health of many institutions is now at risk.
How Have the Rules Changed?
The new rules for study permits are stricter and more complex than before. Here’s what students now need to do to apply for a study permit in Canada 🇨🇦 in 2025:
- Get a Letter of Acceptance from a Designated Learning Institution (DLI). This is an official school that is approved by the government to host international students.
- Request a Provincial or Territorial Attestation Letter (PAL/TAL) from the province or territory where the DLI is located. Most applicants, including graduate students and those already in Canada 🇨🇦, must now provide this letter. The PAL/TAL proves that the province or territory supports the student’s application and that the school is not over its limit for international students.
- Submit the Study Permit Application to Immigration, Refugees and Citizenship Canada (IRCC), including the PAL/TAL, proof of funds (which now have higher requirements), and other supporting documents. The official application form and instructions can be found on the IRCC website.
- Wait for Processing. Approval rates are lower than before, and processing times may be longer because of the extra paperwork and checks.
- Receive a Decision. If approved, the student can travel to Canada 🇨🇦 to begin their studies. If denied, they may need to reapply or consider studying in another country.
Some groups are exempt from the PAL/TAL requirement, including primary and secondary school students, certain government priority groups, and students extending their permits at the same school and level. There is also a new exemption for exchange students to help maintain international partnerships.
Economic and Institutional Impacts
The drop in international student numbers is already having a big impact on Canada’s 🇨🇦 economy and its schools. Many colleges and universities, especially in Ontario and British Columbia, depend on higher international tuition fees to make up for flat or falling government funding. With fewer international students, these schools are losing a major source of income.
- Job Losses: About 10,000 jobs have been affected so far, including teachers, administrators, and support staff.
- Program Cuts: Some schools have had to suspend or cancel programs that relied on international students to stay open.
- Financial Strain: Without enough tuition revenue, some institutions may struggle to survive, especially smaller colleges and those in regions with fewer domestic students.
The Canadian Bureau for International Education (CBIE) warns that these problems could get worse if the decline continues. The group says that Canada 🇨🇦 needs to rethink its approach to international education to make sure the system is fair, stable, and able to recover in the future.
What Are Stakeholders Saying?
Immigration Minister Lena Metlege Diab has said that the government wants a “sustainable” system that balances the country’s economic needs with concerns about housing and public services. The government plans to hold consultations with students, schools, and provinces in the summer of 2025 to help shape a new three-year immigration plan.
University and college leaders are calling for clearer policies, more support for high-quality programs, and a more flexible approach to managing international students. They argue that sudden changes and uncertainty make it hard for schools to plan and for students to trust that Canada 🇨🇦 is a good place to study.
The CBIE and other advocacy groups stress that the decline in student numbers is not just because of new rules, but also because Canada’s 🇨🇦 reputation as a top study destination is being damaged. They say that rebuilding trust and attracting students back will take time and careful planning.
How Are Students Affected?
For students, the new rules mean more paperwork, longer wait times, and a higher chance of being rejected. The approval rate for study permits has dropped sharply, with more than half of applicants now being turned down. This is a big change from just a few years ago, when Canada 🇨🇦 was seen as one of the easiest countries for international students to enter.
Many students come to Canada 🇨🇦 hoping to stay after graduation. About 70% of international students plan to apply for a post-graduate work permit, and 57% want to become permanent residents. With fewer new students coming in, there will be fewer people eligible for these pathways in the future.
Students from India, Nigeria, and the Philippines have been hit hardest by the changes, but the effects are being felt by students from all over the world. Some are now looking at other countries, like Australia, the United Kingdom, or the United States 🇺🇸, as better options for their studies.
What Happens Next?
If current trends continue, 2025 could see the lowest number of new international students in Canada 🇨🇦 in nearly a decade. This would have long-term effects on schools, the job market, and the country’s reputation as a place to study and build a future.
The federal government is reviewing its policies and plans to announce changes later in 2025. These could include new rules for how many students each province can accept, changes to the PAL/TAL system, or new support for high-quality programs. The government is also looking at ways to make sure international students are not being taken advantage of by low-quality schools.
Canada 🇨🇦 is facing more competition from other countries that want to attract international students. If the country does not act quickly to fix its system and rebuild trust, it could lose its place as a top destination for students from around the world.
Practical Tips for Prospective Students
If you are thinking about studying in Canada 🇨🇦, here are some steps you can take to improve your chances:
- Apply Early: The process now takes longer, so start your application as soon as you get your acceptance letter from a DLI.
- Check PAL/TAL Requirements: Make sure you understand the rules for your province or territory and request the attestation letter as soon as possible.
- Prepare Strong Documents: Double-check that you have all the required paperwork, including proof of funds and a clear study plan.
- Stay Informed: Rules can change quickly. Check the official IRCC website for the latest updates and instructions.
- Consider Alternatives: If your application is denied, look at other countries or different types of programs that may have higher approval rates.
Country/Type | Visa Category | Processing Time |
---|---|---|
Canada | Study Permit | Longer due to extra paperwork |
Canada | Study Permit | 263,610 permits issued in 2024 |
Canada | Study Permit | As few as 163,000 permits expected in 2025 |
Canada | Study Permit | 48% approval rate in 2024 |
Key Numbers at a Glance
- 2023 International Students: ~1,040,000
- 2024 International Students: ~997,800 (–4%)
- New Study Permits Issued in 2024: ~263,610 (48% approval rate)
- 2025 Permit Cap: 437,000 (–10% from 2024)
- Indian Student Permits Q1 2025: 30,650 (–31% year-over-year)
Looking Forward: What Needs to Change?
Experts say that Canada 🇨🇦 must act quickly to fix its international education system. This means:
- Rebuilding Trust: Making sure students and their families know that Canada 🇨🇦 is still a good place to study and build a future.
- Supporting Quality: Focusing on high-quality programs and schools, and making it harder for low-quality or “sham” institutions to operate.
- Balancing Needs: Finding a way to welcome international students while also protecting housing, healthcare, and other public services for everyone.
- Listening to Stakeholders: Involving students, schools, and provinces in making new policies that work for everyone.
As reported by VisaVerge.com, the decline in international student numbers is deeper and more rapid than policymakers expected. The sector now faces a multi-year challenge to recover, with financial instability and damage to Canada’s 🇨🇦 global reputation as key risks. Policy changes, better support for quality programs, and open communication with all stakeholders will be essential to restore stability and trust.
For more information and the latest updates, visit the official IRCC website or the Canadian Bureau for International Education.
Canada’s 🇨🇦 international education sector is at a turning point. The choices made in the next year will shape the future for students, schools, and the country as a whole. By working together and focusing on fairness, quality, and clear communication, Canada 🇨🇦 can rebuild its reputation and remain a top choice for international students worldwide.
Learn Today
Study Permit → An official document allowing international students to study at designated Canadian institutions for a specific period.
Designated Learning Institution (DLI) → A Canadian school authorized by the government to accept international students for approved study programs.
Provincial or Territorial Attestation Letter (PAL/TAL) → A document from a province or territory certifying a student’s acceptance and school quota status.
Canadian Bureau for International Education (CBIE) → A key organization monitoring international education trends and advocating for Canada’s global student policies.
Post-Graduate Work Permit → A work permit for international students to gain Canadian work experience after completing their studies.
This Article in a Nutshell
Canada’s new study permit cap introduced in 2024 caused a steep decline in international students, hitting economic and educational sectors. Approval rates fell to 48%, with fewer permits issued in 2025. Schools face layoffs, while Indian and other international student numbers drop significantly, challenging Canada’s global education reputation.
— By VisaVerge.com