Canada sees 60% drop in international students due to stricter visa rules and eligibility requirements.

Canada Sees 60% Drop in Students Amid Visa Rules

Visaliv

24 Oct 2025

Canada has witnessed a dramatic 60% decline in international student arrivals in 2025, following the government’s introduction of tougher visa and study permit regulations. According to data from Immigration, Refugees and Citizenship Canada (IRCC), the number of new study permits issued between January and August 2025 fell sharply compared to the same period last year.

The decline is attributed to a series of policy changes aimed at addressing housing shortages and improving oversight of the international education system. The federal cap on new student permits, set at 437,000 for 2025, has reduced admissions significantly, especially from major source countries like India, which traditionally sends the largest number of students to Canada.

In addition, the proof-of-funds requirement has been doubled, and stricter eligibility criteria have been introduced, making it more difficult for students to qualify. Reports also suggest that visa rejection rates have risen to nearly 62%, marking the highest level in a decade.

These measures have had a notable impact on Canadian universities and colleges, many of which rely heavily on international students for tuition revenue. Several institutions are now warning of potential financial strain and reduced campus diversity.

Education consultants in India and other affected countries say that the stricter policies are pushing students to explore alternative destinations such as the UK, Australia, and New Zealand, which have more flexible post-study work options.

Analysts note that while Canada’s new measures aim to ensure quality and control growth in the education sector, the sharp decline in student numbers may affect the country’s global reputation as a top study destination and its long-term economic contributions from the international education sector.