Canada Reduces International Student Permits to Address Housing and Service Pressures

In a strategic effort to mitigate the escalating pressures on housing and public services, the Canadian government has announced a 10% reduction in the issuance of international student permits for the year 2025. This decision will cap the number of permits at 437,000, a decrease from the previous year’s figures.

The move comes in response to growing concerns that the influx of international students has been contributing to housing shortages and overburdening healthcare and other essential services. In 2023, Canada issued over 650,000 study permits, bringing the total number of international students to more than one million. While these students significantly contribute to the economy through higher tuition fees, their presence has also led to increased demand for housing and public services, particularly in major cities.

Prime Minister Justin Trudeau, who is set to step down in March, had previously committed to reducing immigration levels amid declining public support. The initial cap on international student permits was introduced in 2024, following concerns that rapid population growth from immigration was exacerbating the housing crisis.

To comply with the new regulations, applicants are now required to provide a Provincial or Territorial Attestation Letter. This requirement, which previously applied to certain categories of students, has been extended to include master’s and post-doctoral candidates to confirm their inclusion within the cap.

The government has emphasized that this measure is not intended to discourage international students but to ensure that the country’s infrastructure can adequately support both domestic and international populations. By managing the number of incoming students, Canada aims to balance the benefits of international education with the need to maintain quality of life for all residents.

Educational institutions have expressed mixed reactions to the announcement. While acknowledging the necessity of addressing housing and service pressures, some universities and colleges are concerned about the potential financial impact due to reduced tuition revenue from international students. They are calling for increased government support to offset potential shortfalls and to assist in expanding infrastructure to accommodate future growth.

Prospective international students are advised to stay informed about the new requirements and to plan their applications accordingly. The government has committed to providing clear guidance to help applicants navigate the updated process.

This policy adjustment reflects Canada’s ongoing efforts to manage population growth sustainably while continuing to welcome international talent. As the country navigates these changes, the balance between attracting global students and maintaining adequate resources for all remains a central focus of public policy.