Canada’s international student arrivals plunged nearly 60% in January–August 2025, with 89,430 new students compared with 221,940 a year earlier, signaling the sharpest slowdown in a decade for a top study abroad destination, per IRCC-linked datasets and analysis shared this week.
Policy squeeze slows visas
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August 2025 saw 45,380 new study-permit holders, down 43% from 79,795 in August 2024, aligning with federal caps, tighter acceptance-letter checks, higher proof-of-funds, and narrower post-study work rights framed as “sustainability” measures by authorities and sector trackers.
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Proof-of-funds rose again on September 1, 2025, to CAD 22,895 for a single applicant, adding fresh financial barriers for fall and winter intakes, according to official policy updates.
Student numbers shrink onshore
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The total international student population fell to about 802,000 as of August 2025, down roughly 21% year over year, with both study-only and study+work cohorts contracting by about one-fifth, official dashboards indicate.
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Analysts note approvals are increasingly skewed toward extensions rather than new entrants in 2025, compounding the drop in fresh arrivals to campuses nationwide.
Indian cohort hit hard
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Reports highlight disproportionate impacts on Indian students—the largest source market—amid markedly lower approval rates and tightened spousal work eligibility, prompting shifts toward Germany, the UK, and Australia for comparable outcomes and cost predictability.
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Sector observers warn of fiscal stress across colleges and universities due to lost fee revenue, with knock-on effects for housing, retail, and local services in student hubs.
What this means for applicants
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For 2025–26 intakes, plan for longer timelines, stricter documentation, higher living-cost proofs, and more selective program choices aligned with post-graduation work rules; consider diversified destination strategies to secure admissions and visa certainty.
