Canada’s student visa numbers plummet in 2025 as Indian applicants decline by 50%

Canada's once thriving trend of attracting Indian international students has reversed sharply in 2025, with a significant decline in the number of study permits issued. What was once an explosive growth trajectory has now slowed drastically, with early data indicating a near 50% drop compared to last year, according to Immigration News Canada. The reasons behind this downturn include a combination of stringent immigration policies, economic barriers, and increased global competition for international students.

Canada has long been a top destination for international students, particularly from India, which has seen a meteoric rise in applicants for study permits over the past decade. Between 2015 and 2023, the number of Indian students in Canada surged by a staggering 770.7%, from 31,920 in 2015 to 278,005 in 2023, according to IRCC.

However, the trend reversed sharply in 2024, when the number of Indian study permits fell to 188,255, representing a 32.3% decline from the previous year. This was only the beginning of a broader contraction that has continued into 2025. Preliminary figures from January to July show just 52,765 Indian study permits, signalling a steep annual decline.

A Shift in Trends

If current trends hold, projections suggest that the total number of Indian study permit holders for 2025 could plummet to around 90,454, representing a 52% drop from the previous year and a 67.5% decrease from the peak in 2023. This would mark the steepest fall in a decade, threatening both Canada's education sector and the local economies that benefit from international students.

This drop is not only a setback for Canada's educational institutions but also for provinces like Ontario, where 60% of Indian students were enrolled. The resulting enrollment gaps have already led to emergency measures such as scholarships and virtual course adaptations. The reduced number of students is expected to create a CAD 10.5 billion shortfall in economic contributions from Indian students compared to 2023, affecting revenues across the board, from housing to retail.

Challenges Behind the Decline

Several factors are driving this decline. Among the most significant is the rise in global competition for international students. Countries such as Australia, the UK, and the US are becoming increasingly aggressive in their pursuit of top talent, offering lucrative incentives and pathways to permanent residency.

In addition to this, the Canadian government's tightened immigration policies in recent years, coupled with rising living costs and economic barriers, have further limited the flow of international students. Stricter visa and work permit regulations, alongside the increasing costs of education and living, have created a less attractive environment for prospective students.