Canada Lowers International Study Permits, Big Impact On Indian Students

The Canadian government expects a seven per cent drop in international study permits next year, capping 2026 issuances at 408,000. The total includes 155,000 visas for new arrivals and 253,000 extensions for current students, according to Immigration, Refugees and Citizenship Canada (IRCC).

“This number is 7 per cent lower than the 2025 issuance target of 437,000 and 16 per cent lower than the 2024 issuance target of 485,000,” IRCC said.

New work permits under the Temporary Foreign Worker Program (TFWP) and International Mobility Program (IMP) are projected to reach 230,000 in 2026, before decreasing to 220,000 in 2027 and 2028.

Indian nationals remain the most affected group. In 2024, they made up:

• 20.8 per cent of TFWP entrants (39,790 people).
• 29.2 per cent of IMP entrants (209,505 people).
• 36.5 per cent of study permit holders (188,465 people).

The 2025 plan allowed 673,650 temporary residents (367,750 workers and 305,900 students). A previous 2024 plan projected 516,600 temporary residents in 2026 and 543,600 in 2027.

IRCC said, “Further reductions are needed to meet our commitment of reducing the share of Canada's temporary population to below 5 per cent of the total population by the end of 2027.”

Under the 2026 forecast, total temporary resident entries for workers and students will fall to 385,000, and then to 370,000 in both 2027 and 2028.

The government's latest immigration levels plan outlines steep cuts, nearly 43 per cent, to temporary resident admissions, including international students and foreign workers. The earlier plan expected 305,000 new international students each year, but the updated targets allow only 155,000 in 2026, dropping to 150,000 in 2027 and 2028.

IRCC said the 2024 study permit cap has already slowed temporary population growth, with study permit holders falling from over 1 million in January 2024 to around 725,000 by September 2025. The cap will continue to limit the number of applications accepted for processing, with a maximum of 408,000 study permits available in 2026.

Starting January 1, 2026, Master's and PhD students at publicly designated learning institutions (DLIs) will no longer need provincial or territorial attestation letters (PAL/TAL). IRCC said this exemption recognises their contribution to innovation and economic growth. A full list of eligible DLIs will be released soon.

Other groups exempt from PAL/TAL requirements include:

• K-12 students.
• Certain federal priority and vulnerable groups.
• Current study permit holders applying for an extension at the same school and level.