Indian Students Mull Options After Canada Caps Visas

Canada’s two-year limit on the number of new international student visas issued, imposed as a result of housing shortages and healthcare concerns, is likely to have a significant impact on Indian students who are currently the largest group among Canada’s 800,000 international students.

Canadian Immigration Minister Marc Miller said the cap will mean a 35% reduction in the number of new study visas issued in 2024.

Government data reveals that Canada issued about 1 million study permits last year, a threefold increase from a decade ago.

A female student smiling and holds the flag of Canada.

The new proposal will cut the student intake by nearly one third. For 2024, the cap is expected to result in approximately 364,000 approved study permits in 2024, a decline of 35% from 2023. The limit for 2025 will be re-evaluated at the end of 2024.

Although some academics and visa consultants believe the limitations on visa numbers will likely increase competition for spots, thereby placing more pressure on Indian students to perform in academic exams and English language proficiency tests, the general perception seems to be that the cap will have a limited effect as most Indian students seek masters and PhD courses, which are exempt from the new policy.

However, they acknowledged that with the diminished intake, visa application rejection rates would be higher. In addition, a doubling of the minimum funds applicants need to prove they have available to support themselves – from CA$10,000 (US$7,450) to CA$20,635 (US$15,355) in addition to tuition fees – may act as a deterrent for some students aspiring to study in Canada.

The new rule is applicable from 1 January 2024.

Other options

Aditya Rajoria, a college student in Faridabad in India’s northern state of Haryana, said: “Canada is a preferred destination, but students coming from middle-class families will not be able to meet the new level of savings [required] as Canada has more than doubled the cost-of-living financial requirement.

“Most students borrow from banks to fund their studies abroad. Obtaining an educational loan, especially a large one, is a lengthy and cumbersome process. So, if the loan amount more than doubles, then it will not be that easy.”

Rajoria added: “The new Canada rules will compel many students to consider other options. I will complete graduation this year and am planning to go to Canada for higher education. But I will consider other alternatives as well. Of course, Canada is still among the top choices for me and others but we have to consider other options as well.”

Maria Mathai, director of New Delhi-based education consultancy M M Advisory Services, said the impact would be more apparent for college students applying for diploma courses, noting that about 70% of Indian students pursuing education abroad opt for postgraduate studies.

“While the [news] headlines on the cap might influence the number of Indian students choosing Canada, the impact is expected to vary across categories,” she said.

“Diploma-bound college students may explore alternative destinations, while degree-bound university students are likely to maintain Canada as a preferred choice,” she added.

With a total of 319,000 students, India had more study permit holders in Canada in 2022 than any other country. Indians constituted about 40% of the international students permitted in Canada in 2023 – or around 300,000 students from India. In 2022, more than 41% or 225,835 of all permits were issued to Indians.

Visa delays in 2023 at Canadian embassies and diplomatic tensions between India and Canada since last year may have already deterred some students in India from applying to Canada.

Flag of Canada.

t Canada is still a favoured destination as many believe it is comparatively easier than some other major destination countries to obtain work permits after completing courses in Canada.

Bhavin Thaker, director of Careerline Education Foundation, a Gujarat-based study abroad consultancy, said Canada has always been a top choice for Gujarat based students, but they will now have to consider other options.

Changing visa landscape

However, options appear to be narrowing as more countries have introduced visa restrictions over the past year. The Australian government has tightened the English proficiency tests for international students. Those seeking visas for graduate study will need a score of 6.5 on the International English Language Tests System (IELTS), up from 6.0, while applicants for an undergraduate student visa will have to score 6.0, up from 5.5.

Australia also announced last year it was increasing by raising the financial requirement for visa applicants by 17% to AUS$24,505 (US$16,180).

The UK, another sought-after destination for Indian students, has from January this year barred international students from bringing dependants to the UK, unless the international student is enrolled in postgraduate courses currently designated as research programmes.

Beyond the four traditional destinations of Canada, US, UK, and Australia, Indian students are now considering non-traditional destinations like the Netherlands, Ireland, South Korea, Taiwan, Malta, Hungary, Germany, Italy, etc, many of which offer lower tuition fees, post-study work opportunities, and favourable immigration policies, education consultants said.

But Mathai disagrees that students have fewer choices of destination and notes that some alternative destinations are becoming popular in addition to the traditional top destinations, not instead of them.

“Contrary to the perception that options are narrowing for Indian students, the reality is far from it. A significant shift is observed in student preferences beyond Major English Speaking Destination Countries (MESDC).

“The international education market has expanded considerably in the last decade, with the total number of Indian students abroad reaching an estimated 1.5 million last year. This is almost five times the number a decade ago,” she pointed out.

While MESDC countries still account for a substantial portion (roughly 60%), Indian students are increasingly exploring opportunities in Europe, Asia, the Middle East, Russia, and both the Americas, Mathai noted.

“This diversification in destination choices showcases the adaptability of Indian students and the global nature of contemporary education preferences. Despite recent policy changes in the major destination countries, the overall trajectory suggests a dynamic and resilient market,” she added.

Source: University World News

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