Canada to cut student visas by 10% in 2025, another blow to Indians | Personal Finance

However, Bloomberg news agency reports that Canadian universities have expressed concern and warned that the country may not meet its 2024 targets because fewer international students are applying. Despite these concerns, the government remains committed to its plan.

Miller’s announcement also included restrictions on foreign workers and changes to work permits for spouses of master’s students and temporary workers. “The reality is that not everyone who wants to come to Canada will be able to do so, just as not everyone who wants to stay in Canada will be able to do so,” Miller said in a statement. He stressed the importance of preserving the integrity of Canada’s immigration system.

Why is Canada increasing immigration?

Canada’s population growth has been rapid, with some three million people added in the past three years – equivalent to the population of Qatar. This increase has contributed to rising housing costs and pressure on public services, leading to growing discontent with Trudeau’s handling of immigration policies.

In March, Miller revealed plans to reduce the proportion of temporary residents, including foreign students and temporary workers, to 5% of the total population over the next three years. At the time, the temporary resident population was 6.2% and, despite efforts, it has since risen to 6.8%.

Critics have pointed to the rapid growth of this group, with some blaming it for exacerbating social problems such as housing affordability and rising costs of living.

How are temporary foreign workers affected?

Employment Minister Randy Boissonnault announced new restrictions on temporary foreign workers, particularly in Quebec, which is currently the largest user of the program. The new policies will prohibit the use of temporary foreign workers in regions with an unemployment rate of 6% or higher. These changes follow restrictions previously announced in other provinces.

“We are reducing the number of low-wage temporary foreign workers and shortening the length of their employment contracts,” Trudeau said on X (formerly Twitter). He noted the need for businesses to invest in Canadian workers, adding: “We need businesses to invest in Canadian workers.”

According to a survey conducted by Nanos Research Group, most Canadians support reducing the number of temporary workers. However, three in five respondents support allowing companies to use the program if they cannot find suitable candidates locally.

Concerns about fraud in the international student system

Fraud in Canada’s international student system is another issue that has drawn attention. Last year, hundreds of Indian students from Punjab faced deportation after discovering that the offer letters they had been sent to Canadian universities were fake. Brijesh Mishra, an educational consultant from India, was arrested in British Columbia for his role in the scam. Mishra was found guilty of providing fake acceptance letters and charging students between Rs 14 and Rs 16 lakh for each.

The scam affected hundreds of students between 2016 and 2020, and Canadian authorities have been investigating more than 2,000 similar cases. In response, the government is reviewing visa decision-making processes to detect fraud more effectively.

How many students does Canada accept?

Canada has historically been a popular destination for international students. Last year, a record 1.04 million foreign students were accepted, according to data from the immigration department. Since 2015, the number of study permits for foreigners issued has nearly tripled.

However, the numbers are declining. In 2023, Canada approved 509,390 international study permits, but in the first seven months of 2024, only 175,920 had been issued. The government’s changes aim to reduce the number of study permits to 437,000 by 2025.

How Canada’s new rules will affect Indians

Canada is one of the favourite destinations for Indian students. According to Indian government data released last month, around 13.35 lakh Indian students are studying abroad, of which around 427,000 are in Canada.

Between 2013 and 2022, the number of Indian students moving to Canada to study has seen a massive increase of 260 percent.

According to a Reuters report earlier this year, about 40 percent of foreign students in Canada were from India.

What’s next for Canada’s immigration policy?

The government is expected to announce the first target for temporary residents for the period 2025 to 2027 by November 1.

As Canada grapples with the effects of its immigration policies, it remains to be seen how these changes will affect the country’s economy and public services. “There is more work to be done,” Miller said, acknowledging the challenges ahead.

Trudeau’s falling popularity and political pressure

As Canada faces growing concerns over immigration and housing, Prime Minister Justin Trudeau’s political standing has taken a hit. Trudeau’s approval rating has plummeted to 28% in June this year, down from 63% when he was first elected. The latest Nanos tracking poll reflects growing frustration among Canadian voters, with issues such as inflation, the housing crisis and immigration weighing heavily on public sentiment.

Adding insult to injury, Trudeau’s Liberal Party lost a crucial parliamentary seat in a special election in Montreal on Wednesday. The loss is seen as a major blow to the prime minister.