Canada Slashes Study Visa Permits, Indian Students Hit Hardest

Canada's once-booming international student pipeline is slowing dramatically.

New figures released by Immigration, Refugees and Citizenship Canada (IRCC) show that the country issued 383,905 study permits in 2025 - a steep drop from 514,915 in 2024 and far below the 2023 peak of 680,795. In just two years, the numbers have fallen by nearly 300,000.

But the sharpest impact has been felt in India.

Indian Students Bear the Brunt

For Indian nationals - long the largest group of international students in Canada - approvals have nearly halved. Study permits granted to Indians fell from 188,715 in 2024 to 94,605 in 2025. In 2023, that number stood at 277,965.

The message from Ottawa is clear: the era of rapid expansion is over.

IRCC reported that new student arrivals in 2025 were 61% lower than the previous year - a drop of 177,595 people. The annual totals include both fresh entrants and students already in Canada renewing their visas.

Why the Sudden Shift?

The policy pivot traces back to late 2023, when the federal government began linking surging student numbers to housing shortages, rising rents and strained public services.

Officials introduced:

• A national cap on study permits
• Stricter financial requirements
• Mandatory verification of admission letters
• Increased oversight of colleges

Immigration Minister Lena Metlege Diab has framed the measures as part of a broader effort to "restore balance and control" to the system - a direction set by Prime Minister Mark Carney.

The government insists the goal is sustainability, not closure.

What Happens Next?

The tightening is far from over.

For 2026, Canada has set a cap of 408,000 study permits - 7% lower than 2025 targets and 16% below 2024 levels. Of these, only 155,000 will be new students; the rest are extensions for those already in the country.

The broader immigration plan aims to reduce temporary residents - including international students and foreign workers - to below 5% of Canada's total population by the end of 2027.

Already, the number of study permit holders has fallen from over one million in January 2024 to about 725,000 by September 2025.

A Turning Point

For years, Canada positioned itself as one of the world's most welcoming destinations for international education. That openness fuelled record growth - and record strain.

Now, policymakers are recalibrating.