Canada’s international student program is under formal review by the federal Auditor General, with the audit confirmed and planning underway as of July 23, 2025. This review comes at a time of major policy changes, growing public debate, and new government promises to manage the number of international students and their impact on Canadian society.
Why Is the Auditor General Auditing the International Student Program?

The Auditor General, Karen Hogan, has launched a comprehensive audit of Canada’s international student program. The review is in its early planning stages, and the final report is expected to be presented to Parliament in 2026. The audit aims to look closely at how the program is run, including recent changes like permit caps, new financial requirements, and the ways international students can become permanent residents. The review will also consider how these changes affect students, schools, and the wider community.
Canadian universities have welcomed the audit. They see it as a chance to rebuild public trust in the international education system, which has faced criticism and uncertainty over the past two years.
Recent Changes to the International Student Program
Over the last two years, Canada 🇨🇦 has made several big changes to its international student program. These changes are meant to address concerns about housing shortages, pressure on public services, and the ability of schools to support large numbers of students from abroad.
Here are the most important changes:
- Study Permit Cap: On September 18, 2024, Immigration, Refugees and Citizenship Canada (IRCC) announced a cap of 437,000 study permits for 2025, down from 485,000 in 2024. This cap will also apply in 2026.
- Higher Financial Requirements: Starting January 1, 2024, new study permit applicants must show proof of CA$20,635 in available funds, up from the previous CA$10,000. This is meant to make sure students can afford to live in Canada 🇨🇦 without needing extra help.
- Drop in Permits Issued: The number of study permits issued fell from 681,155 in 2023 to 516,275 in 2024. Permits for Indian students dropped from 278,045 in 2023 to 188,465 in 2024. In the first quarter of 2025, only 30,640 permits were issued to Indian students—a 31% decrease from the same period in 2024. Overall, 96,015 permits were issued in Q1 2025, down from 121,070 in Q1 2024.
- Rise in Asylum Claims: International students filed a record 20,245 asylum claims in 2024, nearly double the 2023 figure and six times higher than in 2019. In the first quarter of 2025, asylum claims by international students rose 22% year-over-year, with 5,500 claims filed.
These numbers show how quickly the landscape is changing for international students in Canada 🇨🇦.
What Is the Auditor General Looking For?
The Auditor General’s audit is expected to cover several key areas:
- Permit Caps: Are the new limits on study permits working as planned? Are they fair and effective?
- Pathways to Permanent Residency: How do international students move from study permits to permanent residency? Are these pathways clear and well-managed?
- Policy Responses: How has the government responded to the surge in international students? Are the new rules helping or hurting students and schools?
- Impact on Society: What effect do international students have on housing, jobs, and public services?
The audit is still in the planning phase, so the exact details are not yet public. Once the scope is set, the Auditor General’s team will collect data, talk to stakeholders, and analyze the results before reporting to Parliament in 2026.
How Are Stakeholders Responding?
The audit has sparked strong reactions from many groups:
- Universities and Colleges: Many schools rely on international students for tuition revenue. The permit cap has forced some to cut staff and freeze hiring. Still, universities say the audit is a chance to show they are acting responsibly and to push for balanced reforms.
- Government Leaders: Prime Minister Mark Carney, who took office after the April 28, 2025, election, has promised that temporary residents—including international students and foreign workers—will not exceed 5% of Canada’s population by 2027. He says immigration rates must return to sustainable levels.
- Opposition Parties: Opposition Leader Pierre Poilievre has called for “very hard caps on immigration levels” to help stabilize housing, health care, and jobs. While he focuses more on temporary foreign workers, his comments reflect a wider debate about the role of international students.
- Economists and Policy Experts: Many experts see the audit as a much-needed step to check if recent changes are working and to measure the real impact of international students on the economy and society.
- Critics: Some argue that the surge in international students has outpaced Canada’s ability to provide enough housing, jobs, and public services. They say stricter controls and better oversight are needed.
- Supporters: Others, especially in the education sector, stress that international students bring economic benefits, new ideas, and cultural diversity. They warn against making cuts that could hurt Canada’s reputation as a welcoming place to study.
Why Did Canada 🇨🇦 Change Its International Student Program?
After COVID-19 restrictions eased, the number of international students in Canada 🇨🇦 soared. This led to record immigration levels and growing public concern about affordability, housing, and the ability of schools to support so many students.
In response, the federal government started tightening rules in late 2023. They raised the amount of money students must show to get a permit and introduced caps on the number of study permits issued each year. These steps aim to make sure students have enough support and that communities are not overwhelmed.
How Do the Changes Affect Students and Schools?
The new rules have real effects on students, schools, and communities:
- For Students:
- Higher Barriers: The higher financial requirement means some students, especially from lower-income backgrounds, may not be able to afford to study in Canada 🇨🇦.
- Fewer Permits: With fewer study permits available, competition is tougher. Some students may have to look elsewhere for their education.
- Uncertainty: Ongoing policy changes and the pending audit create uncertainty for students planning their futures.
- For Schools:
- Financial Strain: Many colleges and universities depend on international tuition fees. The permit cap has led to budget shortfalls, layoffs, and hiring freezes.
- Planning Challenges: Schools must adjust their recruitment and support services to match the new rules and lower student numbers.
- For Communities:
- Housing Pressure: Rapid growth in student numbers has been linked to housing shortages, especially in big cities.
- Public Services: More students mean more demand for health care, transit, and other services.
- Workforce Impact: International students often work part-time jobs, and some stay in Canada 🇨🇦 after graduation, helping fill gaps in the labor market.
What Is the Current Application Process for International Students?
If you want to study in Canada 🇨🇦, you must:
- Show Proof of Funds: As of January 1, 2024, you need to show you have at least CA$20,635 to cover living expenses. This is on top of tuition and travel costs.
- Apply for a Study Permit: You must submit a study permit application under the new cap. The process is managed by Immigration, Refugees and Citizenship Canada (IRCC). You can find the official application form and instructions on the IRCC website.
- Meet Other Requirements: Some provinces and schools may have extra requirements, such as language tests or proof of acceptance.
What Happens Next?
The Auditor General’s audit is still in the planning phase. Once the scope is set, the team will gather data, talk to students, schools, and other stakeholders, and analyze the results. The final report is expected in 2026 and could lead to more changes in how Canada 🇨🇦 manages its international student program.
Meanwhile, the federal government plans to hold consultations on future student intake levels during summer 2025. This could lead to more changes for 2026 and beyond.
What Are the Possible Outcomes of the Audit?
The Auditor General’s findings could have a big impact on the future of international education in Canada 🇨🇦. Possible outcomes include:
- Stricter Controls: If the audit finds that current rules are not enough, the government may introduce even tighter permit caps or higher financial requirements.
- Balanced Reforms: If the audit shows that international students bring clear benefits, the government may look for ways to support students while managing growth.
- Better Oversight: The audit could lead to new systems for tracking student outcomes, monitoring schools, and making sure students have the support they need.
- Policy Changes: The findings may shape Canada’s international education strategy for years to come.
What Do Experts Say?
Analysis from VisaVerge.com suggests that the audit is a turning point for Canada’s international student program. Experts say it is important to find a balance between welcoming students and making sure communities can support them. They warn that too many restrictions could hurt Canada’s reputation and make it harder to attract top talent from around the world.
At the same time, experts agree that better oversight is needed to prevent abuse and make sure students have a good experience. They point to the rise in asylum claims as a sign that some students may be using the program as a backdoor to stay in Canada 🇨🇦, rather than for genuine study.
What Should Prospective Students and Schools Do Now?
If you are a prospective international student:
- Check the Latest Requirements: Visit the IRCC website for up-to-date information on study permits, financial requirements, and application deadlines.
- Prepare Your Documents: Make sure you have proof of funds, acceptance from a designated learning institution, and any other required documents.
- Stay Informed: Policy changes may happen quickly. Watch for updates from the IRCC and the Auditor General’s office.
If you represent a school or college:
- Review Your Recruitment Plans: Adjust your targets and support services to match the new permit caps and financial requirements.
- Support Your Students: Help current and prospective students understand the new rules and prepare strong applications.
- Engage in Consultations: Take part in government consultations to share your views and help shape future policy.
Where Can You Find More Information?
For official updates on the audit and the international student program, visit the Auditor General of Canada’s website. For details on study permits and application forms, check the IRCC website.
Conclusion and Next Steps
Canada’s international student program is at a crossroads. The Auditor General’s audit will play a key role in shaping the future of international education in Canada 🇨🇦. With new rules, permit caps, and higher financial requirements, both students and schools face new challenges and opportunities.
As the audit moves forward, it is important for all stakeholders—students, schools, policymakers, and the public—to stay informed and engaged. The outcome will affect not just those who come to study in Canada 🇨🇦, but also the country’s economy, communities, and place in the world.
If you are planning to apply to study in Canada 🇨🇦, start preparing now. Gather your documents, check the latest requirements, and watch for updates from official sources. For schools and policymakers, the coming months will be a time to listen, adapt, and help shape a fair and sustainable international student program for the future.
Learn Today
Auditor General → An independent official who reviews government programs for effectiveness and transparency in Canada.
Study Permit → A legal authorization required for foreign nationals to study at Canadian designated learning institutions.
Permit Cap → A limit imposed on the maximum number of study permits issued annually in Canada.
Permanent Residency → Status allowing an individual to live and work in Canada permanently after temporary stays.
Asylum Claim → A formal request to be recognized as a refugee seeking protection from persecution.
This Article in a Nutshell
Canada’s international student program faces an audit by the Auditor General to assess recent permit caps, financial rules, and social impacts amid policy changes and rising asylum claims.
— By VisaVerge.com