Canada – Study Permits & New Caps

Canada is a favored destination for students seeking a high-quality, inclusive education and a pathway to permanent residency. The country’s educational institutions are recognized globally, and international students benefit from a welcoming immigration system.

To study in Canada, students must first receive a letter of acceptance from a Designated Learning Institution (DLI). Once admitted, the next step is applying for a study permit. The application requires proof of financial resources to cover tuition, living expenses, and return transportation. As of 2025, students must show a minimum of CAD $20,635, reflecting changes in the cost-of-living requirement.

Recent policy updates have introduced a cap on study permits to address housing and labor market pressures. For 2025, the government has limited approvals to approximately 437,000 permits. Provinces are responsible for allocating the limited spaces to institutions, making early applications crucial.

Applicants must submit biometric information and may be asked to provide medical and police clearance certificates. The processing time varies by country, but applying through the Student Direct Stream (SDS) can expedite the process for applicants from select nations.

Once in Canada, students are allowed to work up to 20 hours per week during academic sessions and full-time during scheduled breaks. Some students may be eligible for co-op programs or internships tied to their academic curriculum.

Upon completing their studies, graduates may apply for a Post-Graduation Work Permit (PGWP), which can be valid for up to three years depending on the length of their program. The PGWP provides a pathway to Canadian permanent residency through programs like the Canadian Experience Class.

International students must also comply with new rules if they wish to change schools. Transferring to a different DLI often requires a new study permit, and students must notify immigration authorities promptly.

Canada remains an attractive destination due to its quality education, multicultural society, and immigration pathways. However, with evolving regulations and stricter caps, applicants must plan strategically and meet updated requirements for a successful study journey.

Canada – Study Permits and New Caps

Canada has long been a top destination for international students, offering high-quality education and a clear pathway to work and immigration opportunities. However, recent changes in immigration policy, particularly around study permits and the implementation of national caps, have significantly altered the landscape for prospective students.

A Canadian study permit is the primary document required for international students pursuing programs longer than six months. To apply, students must be accepted into a Designated Learning Institution (DLI), provide proof of financial support, and meet health and character requirements. Traditionally, this process was relatively straightforward for eligible students, but starting in 2024, the Canadian government introduced new measures aimed at curbing the rapid growth of the international student population.

The most significant change is the imposition of a cap on the number of new study permits issued annually. In 2024, Canada limited new study permits to approximately 360,000, a reduction of about 35% from the previous year. In 2025, the cap increased slightly to 437,000, still below the peak levels seen in 2023. The goal of these caps is to reduce strain on housing and public services, especially in major urban centers, and to ensure the quality of education programs offered to international students.

To manage these numbers, provinces and territories now play a more active role. Each region receives an annual allocation and must issue Provincial Attestation Letters (PALs) or Territorial Attestation Letters (TALs) to applicants as proof that they are within the regional cap. Most students now need a PAL or TAL to submit a complete application, with only a few exceptions such as minor children and certain exchange students.

The policy changes also affect graduate-level students. While these students were initially exempt from the cap in 2024, they have since been included under the 2025 limits. Additionally, a processing cap has been introduced, meaning there is a maximum number of applications the immigration department will even consider each year. Once that limit is reached, any additional applications are returned without being processed.

These adjustments have impacted not only students but also the institutions that rely heavily on international tuition revenue. Colleges and universities are now competing more aggressively for a smaller pool of eligible students. Some smaller institutions, particularly private colleges, have been hit hard by these changes.

The new caps reflect broader goals in Canadian immigration policy. Beyond managing population growth and public resource use, the government wants to crack down on low-quality education providers and align study permits with labor market needs. For example, changes to the Post-Graduation Work Permit (PGWP) eligibility criteria were made to encourage enrollment in programs that meet current job market demands.

For prospective students, the path to studying in Canada is still open, but it requires more planning, earlier applications, and a careful choice of program and institution. Applying through recognized DLIs, securing a PAL or TAL, and staying informed about changing rules are all essential steps in navigating the new system.