New data released on 23 February by Immigration, Refugees and Citizenship Canada (IRCC) show the number of study permits granted to Indian nationals collapsed by 50 percent in 2025—falling to roughly 120,000 from 240,000 a year earlier. Overall international-student permits dropped 25 percent, but Indians bore the steepest decline as Ottawa’s two-year intake cap, authenticity checks and higher financial-support thresholds kicked in.
IRCC has set a 2026 cap of 408,000 permits (new plus renewals), of which only 155,000 slots are reserved for first-time students. Provinces must now allocate sub-quotas to designated learning institutions (DLIs), injecting greater admission uncertainty. Some Ontario colleges that once derived over 70 percent of tuition revenue from India have warned of programme closures and job cuts.
For Indian families, the tightening ends a decade-long assumption that Canada offered an almost automatic pathway from study to work permit to permanent residency. Consultancy ApplyBoard estimates that required proof of funds for a one-year programme has risen 70 percent since 2024, while average processing times have stretched to 12 weeks.
![Canadian Study-Permit Issuance to Indian Students Plunges by Half in 2025]()
Platforms such as VisaHQ can simplify navigation of these new requirements. Its India portal (https://www.visahq.com/india/) provides tailored checklists, cost calculators and real-time updates for Canadian study permits—as well as visas for alternative destinations—helping applicants avoid missteps and delays.
Corporate sponsors of Canadian master’s programmes for high-potential employees should budget for longer application horizons or consider alternative destinations such as Ireland, which recently introduced a two-year stay-back for STEM graduates. Meanwhile, existing Indian students in Canada face stiffer competition for post-graduation work permits; those granted extensions in 2026 will count against the overall cap, potentially shortening validity.
India’s Ministry of External Affairs said it is engaging with Ottawa to ensure transparent allocation and to streamline documentation to curb fraud rings that IRCC cited when justifying the crackdown. Education counsellors expect heightened demand for UK and Australian intakes later this year, putting additional pressure on those countries’ visa-processing queues.
IRCC has set a 2026 cap of 408,000 permits (new plus renewals), of which only 155,000 slots are reserved for first-time students. Provinces must now allocate sub-quotas to designated learning institutions (DLIs), injecting greater admission uncertainty. Some Ontario colleges that once derived over 70 percent of tuition revenue from India have warned of programme closures and job cuts.
For Indian families, the tightening ends a decade-long assumption that Canada offered an almost automatic pathway from study to work permit to permanent residency. Consultancy ApplyBoard estimates that required proof of funds for a one-year programme has risen 70 percent since 2024, while average processing times have stretched to 12 weeks.
Platforms such as VisaHQ can simplify navigation of these new requirements. Its India portal (https://www.visahq.com/india/) provides tailored checklists, cost calculators and real-time updates for Canadian study permits—as well as visas for alternative destinations—helping applicants avoid missteps and delays.
Corporate sponsors of Canadian master’s programmes for high-potential employees should budget for longer application horizons or consider alternative destinations such as Ireland, which recently introduced a two-year stay-back for STEM graduates. Meanwhile, existing Indian students in Canada face stiffer competition for post-graduation work permits; those granted extensions in 2026 will count against the overall cap, potentially shortening validity.
India’s Ministry of External Affairs said it is engaging with Ottawa to ensure transparent allocation and to streamline documentation to curb fraud rings that IRCC cited when justifying the crackdown. Education counsellors expect heightened demand for UK and Australian intakes later this year, putting additional pressure on those countries’ visa-processing queues.
