In 2025, Canada implemented one of the strictest student visa policies in a decade, drastically impacting international applicants. Immigration, Refugees and Citizenship Canada (IRCC) data shows nearly 80% of Indian student applications were rejected, while students from Asia and Africa also faced higher denial rates. This shift is reshaping global student mobility patterns.

Decline in Canadian Student Enrollment
For decades, Canada was a top choice for international students due to its safety, quality education, and career opportunities. Yet, the latest data shows a steep decline: in 2024, only 1.88 lakh Indian students secured admission, about half of the 2022 figures. Germany has now emerged as the leading destination for Indian students at 31%, while Canada’s share dropped from 18% in 2022 to 9% in 2024.
Reasons Behind the Tightened Policies
The visa crackdown reflects domestic pressures in Canada, including housing shortages, strained infrastructure, and political calls to prioritize local talent. New requirements include:
- Proof of substantial financial resources (doubled to over CA$20,000)
- Detailed study plans and stricter language proficiency
- More restrictive work rules for students
- Closure of the Student Direct Stream for expedited approvals
In total, Canada plans to issue 437,000 study permits in 2025—a nearly 10% reduction from 2024—with allocations including 73,000 for postgraduates, 243,000 for undergraduates and other categories, and around 120,000 for renewals and school-level students.
Impacts on Students and Institutions
The policy shift has broad consequences:
- Students face higher costs and uncertainty, as many viewed Canadian study as a pathway to permanent residence.
- Smaller universities and colleges, reliant on international tuition, experience financial strain, leading to potential closures or mergers.
- The contraction of North American study opportunities accelerates a search for alternative destinations.
Germany Gains as a Preferred Destination
Germany has become a leading alternative, attracting nearly 60,000 Indian students in 2025, up from 49,500 in 2023. Contributing factors include:
- Cost-effective education and lower living expenses
- Strong programs in technology, management, and engineering
- English-language courses and clear career pathways
Other emerging destinations include France, Finland, Australia, South Korea, Japan, Malaysia, and parts of the Middle East.
Global Rebalancing in International Education
The situation marks a broader transformation in international student flows. Students are increasingly prioritizing affordability, career prospects, and quality over traditional prestige. As US, UK, and Canadian markets tighten, alternative destinations gain ground. For universities and policymakers, adapting to these shifts is crucial to remain competitive in the global education landscape.