International Students Key Role in Canada’s Economy

International students play a crucial role in strengthening Canada’s economy, innovation, and research capacity, but recent government policy changes risk undermining these benefits. Despite contributing over $37 billion to Canada’s economy in 2022 and supporting research in key areas like AI and climate science, international student numbers are being slashed under new federal caps.

The poorly implemented permit cap—a 35% cut in 2024, with more to come—has already led to a sharp drop in new students, not due to low demand but due to policy mismanagement, damaging Canada’s reputation as a top education destination.

These students not only drive innovation and economic growth but also help address labour shortages. However, systemic barriers like underemployment, bias against international credentials, and lack of “Canadian experience” prevent many from contributing fully.

It is thought that Canada risks losing global talent to more welcoming countries unless it modernises credential recognition, expands work-integrated learning, and stabilises immigration policies.