Canada has recorded a sharp drop of 53 per cent in the number of new international students and temporary workers entering the country between January and September 2025, compared with the same period in 2024, according to figures released by Immigration, Refugees and Citizenship Canada (IRCC).
The significant decline reflects the federal government’s broader strategy to make migration more sustainable and reduce mounting pressure on housing, infrastructure and public services across the country.
Data from IRCC show that arrivals of new international students fell by as much as 60 per cent during the nine-month period, translating to 150,220 fewer students than were recorded in the first three quarters of 2024. Monthly statistics further highlighted the downturn, with only 11,390 study permit holders arriving in September 2025, a steep fall from the 45,200 arrivals recorded just a month earlier in August.
The downturn follows a series of intentional policy adjustments by the Canadian government. Beginning in 2024, authorities introduced a cap on the issuance of study permits, which was further reduced by 10 per cent in 2025. Additional safeguards were also put in place, including compulsory verification of letters of acceptance and increased financial thresholds for applicants, aimed at tackling fraud and abuse within the international student programme.
Looking ahead, the government has signalled that restrictions on new student admissions will continue between 2026 and 2028 under its Immigration Levels Plan, as part of efforts to keep migration at manageable levels.
Temporary worker arrivals also experienced a notable reduction. Between January and September 2025, the number of new temporary workers entering Canada dropped by 48 per cent compared to the same period in 2024, representing 158,660 fewer arrivals. In September alone, 17,515 new temporary workers were admitted.
By the end of September, official figures showed that 1,494,900 people in Canada held only work permits, while 251,300 possessed both work and study permits. The federal government has maintained that cutting back on temporary worker numbers will help prioritise employment opportunities for residents already in the country and better align immigration intake with actual labour market demands.
Despite the decline in new entrants, Canada has continued to facilitate the transition of temporary residents to permanent status. Between January and September 2025, more than 154,000 former temporary residents became permanent residents, accounting for roughly half of all new permanent residents admitted during the period.
IRCC noted that many of these individuals already have Canadian education credentials, local work experience and strong language proficiency. Most apply through economic immigration streams such as Express Entry and the Provincial Nominee Program. According to the agency, this approach allows Canada to retain skilled individuals who are already integrated into society while easing strain on housing and public services.
As of September 30, 2025, Canada had 473,860 people holding only study permits, 1,494,900 holding only work permits and 251,300 holding both study and work permits.
Experts expect the sharp fall in arrivals to have wider implications for both the education and labour sectors, with post-secondary institutions likely to face reduced enrolment and industries dependent on temporary labour forced to rethink their workforce planning.
Under the Immigration Levels Plan, the federal government aims to reduce the temporary resident population to below five per cent of Canada’s total population. Projections indicate further cuts in student and worker arrivals between 2026 and 2028, even as the country pursues long-term economic growth. Proposed targets include 155,000 new international student arrivals—49 per cent lower than the 2025 target—230,000 new temporary workers, a 37 per cent reduction, and 380,000 new permanent residents, four per cent below the 2025 benchmark. The plan also includes fast-tracking permanent residence for 33,000 skilled temporary workers between 2026 and 2027, particularly those already contributing in rural communities and high-demand sectors.