Canada Reduces Study Permits, Indian Students Face Major Impact in 2026

The Canadian government has revealed its intention to decrease the number of international study permits and temporary work permits for the year 2026, hitting Indian nationals particularly hard. The forecast is to issue approximately 408,000 study permits next year, consisting of 155,000 for newcomers and 253,000 for permit extensions. This figure marks a seven percent decline from the 437,000 permits granted in 2025, and represents a 16 percent reduction from the 485,000 issued in 2024.

For the Temporary Foreign Worker Program (TFWP) and the International Mobility Program (IMP), 230,000 new work permits are projected for 2026. However, these numbers are anticipated to drop to 220,000 in 2027 and 2028. Indian nationals have comprised the most affected demographic, accounting for 20.8% of TFWP arrivals, 29.2% of IMP entrants, and 36.5% of international students in 2024.

According to the Canadian authorities, these reductions are part of a larger strategy to maintain the share of temporary residents below five percent of the overall population by the close of 2027. Overall, the number of entries for temporary workers and students is expected to decline to 385,000 in 2026, and further to 370,000 in 2027 and 2028.

Starting January 1, 2026, the plan will facilitate processes for higher education students. Master’s and PhD candidates at publicly designated learning institutions (DLIs) will be exempt from needing provincial or territorial attestation letters (PAL/TAL). Exemptions are also granted for K-12 students, select federal priority and vulnerable groups, and current study permit holders applying for an extension at the same educational institution.

These amendments underline Canada’s commitment to managing temporary resident numbers while ensuring that pathways remain open for students and skilled workers who enhance its economy and innovation landscape.