Maple News reports that Canada’s post-secondary institutions are facing a significant financial and academic strain due to a steep decline in international student permit applications and approvals. This drop, evident since 2022, is tied to recent federal policy changes aimed at capping international student growth amid concerns over housing and student supports.
Data shows a drastic fall from over 300,000 study permit applications per quarter in 2022 to fewer than 100,000 projected by 2025. Approval rates have declined even further, reflecting a tightening of Canada’s immigration policies. The decision has had ripple effects across universities, impacting course availability, research programs, student services, and overall institutional budgets.
With fewer international students—who often pay two to three times the domestic tuition rate—universities are facing substantial revenue gaps. Institutions have begun cutting back on elective courses, delaying required programs, and consolidating student services, including mental health support. This is happening in parallel with rising domestic enrolments and provincial tuition freezes, creating a perfect storm of financial constraint.
Students are already feeling the effects. At the University of Regina, some, like digital marketing student Daniella Iyaomolere, are waitlisted for required courses, threatening graduation timelines. In British Columbia, students have reported having to register across multiple institutions to access needed classes. Overcrowding and reduced options are making it difficult for domestic students to progress on schedule.
The quality of education is also under pressure. Faculty are reporting larger class sizes and increased workloads, while support structures for students and researchers are being rolled back. Rob Kristofferson of the Ontario Confederation of University and Faculty Associations has warned that this erosion may damage the academic experience for all students.
Canada’s research ecosystem is similarly affected. International graduate students—often integral to large-scale research projects—are dropping off in numbers. Daniel Jutras, chair of U15, a consortium of Canada’s top research universities, said the country risks losing global competitiveness in knowledge industries if this talent pipeline continues to shrink.
In response, Immigration, Refugees and Citizenship Canada (IRCC) defends the cap as essential for sustainability. Officials argue that falling application volumes show that the new controls are succeeding. However, university officials and education leaders warn these abrupt changes have left institutions scrambling, harmed Canada’s global reputation, and reduced the country’s capacity to attract top talent.
Education advocates are now calling for a more nuanced, coordinated approach. Gabriel Miller of Universities Canada and Meti Basiri of ApplyBoard both emphasize the long-term value that international students bring—not just in tuition dollars but as future Canadian residents contributing to innovation, research, and cultural diversity.
Without strategic intervention and funding reform, Canada may find itself falling behind in education quality, economic growth, and global standing. Maintaining a sustainable, inclusive post-secondary system, they argue, will require more than caps—it will demand vision and investment.