Dr. Irphan Ali: Implications of Canada’s 2-year cap on international students

The framework for this policy is uniquely structured, with permit caps for each province being determined based on their population size.

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The Canadian government has announced a two-year cap on international student permit applications, directly impacting the academic landscape of the nation. The new measure, set to commence in 2024, will see a substantial 35 percent reduction in the number of study permits issued, capping approvals at approximately 360,000. This decision marks a stark contrast to the more liberal approach adopted in 2023, which facilitated a greater influx of international students.

The framework for this policy is uniquely structured, with permit caps for each province being determined based on their population size. This arrangement implies that provinces with historically lower increases in international student numbers are poised to experience a more pronounced reduction in study permit approvals for 2024.

In a conversation with MSM Reporter, Dr. Irphan Ali, the global head of academics at Innivec, delved into the potential ramifications of this policy change.

Dr. Ali, a renowned figure in the academic field, provided an insightful analysis of how this cap could reshape the educational dynamics in Canada, especially in terms of the provincial distribution of international students and the broader implications for Canadian universities and their global standing.

The interview sheds light on the multifaceted impacts of this policy on the educational sector, international students, and the Canadian provinces themselves.

What are the primary reasons cited by the Canadian government for implementing a two-year cap on international students?

 Canada has decided to limit the number of new international student visas for the next two years to address housing issues and address concerns with some institutions. This decision may affect those planning to study in the country. The cap will be in place until 2025, with a reassessment at the end of this year. The goal is to maintain a sustainable level of temporary residence in Canada and control the growth of international students in 2024.

Immigration Minister Marc Miller explained that some private institutions have exploited international students by offering under-resourced campuses, lacking student support, and charging high tuition fees. The reduction in permits, approximately 50 percent in some provinces, will be decided by provinces and territories on how they are distributed among universities and colleges.

Miller expressed concern about institutions providing fake business degrees, stating that there could be “hundreds” of such schools in Canada. In addition to the cap, international students applying for a permit will now need to provide an attestation letter from a province or territory.

Miller clarified that these measures are not against individual international students but aim to ensure that future students receive the quality of education they expect. 

Changes to the post-graduation work permit program include the exclusion of students starting programs under curriculum licensing arrangements from September 2024. Graduates who have completed master’s degrees and other brief graduate-level programs will soon qualify for a three-year work permit. Open work permits will also be available to spouses of international students in master’s and doctoral programs.

How is the two-year cap expected to affect the number and diversity of international students applying to Canadian educational institutions?

According to Immigration Minister Marc Miller, there will be a 35 percent decrease in new study visas in 2024 as part of the cap. The cap is anticipated to lead to a total of 364,000 newly approved permits in 2024.

The two-year cap on international student visas in Canada is expected to have several impacts on the number and diversity of students applying to Canadian educational institutions.

Reduction in numbers. The cap may lead to a decrease in the overall number of international students applying to Canadian institutions. The limitation on the issuance of new study permits could deter potential applicants, affecting the overall enrollment numbers.

Impact on institutional budgets. Educational institutions that have expanded in anticipation of a continuous influx of international students may face financial challenges. The reduction in student numbers could strain institutional budgets, affecting resources and services for both international and domestic students.

Diversity concerns. The cap might impact the diversity of the student population. If certain countries or regions traditionally sending students to Canada are disproportionately affected, there could be a reduction in the cultural and ethnic diversity within Canadian universities and colleges.

Labor market implications. Sectors relying on international student labor, such as food service and retail, may experience shortages. The cap could limit the availability of part-time work for international students, affecting their ability to support themselves financially during their studies.

Economic consequences. The economic contributions of international students, including tuition fees and spending on accommodation and goods, may decline. This could have broader economic consequences, impacting businesses and communities that benefit from the presence of international students.

Competitiveness in the global education market. The cap may affect Canada’s competitiveness in the global education market. Other countries with more lenient policies may attract students who would have otherwise chosen Canada. This could impact the country’s standing as a preferred destination for international education.

Shifts in educational programs. Certain educational programs that heavily rely on international student enrollment may see changes. Institutions might need to reevaluate their offerings and marketing strategies to attract students in fields not affected by the cap.

Reputation impact. The policy could influence Canada’s reputation as a welcoming and inclusive destination for international students. If perceived as restrictive, it may deter potential students and affect the country’s standing in the eyes of the global community.

What feedback have Canadian universities and colleges provided regarding the two-year cap on international students?

Universities and colleges in Ontario are worried about the government’s plan to reduce the number of international students allowed to study in Canada. Organizations representing these institutions say that the cap will create financial challenges for them. 

Colleges and Institutes Canada stated that these measures could harm Canada’s global image and the financial stability of institutions, affecting both international and domestic students negatively. Private colleges, especially those in public-private partnerships, are likely to be significantly impacted by the details of the new rules.

How has the international student community in Canada reacted to the imposition of the two-year cap?

Students who don’t have a work permit from their program are concerned that they might struggle to find a job to repay the loans they took to study in Canada. This situation is causing a significant financial burden for students who have planned everything in advance. The added stress is making things more chaotic, especially for students who are already under pressure.

According to Sahilpreet Singh Chatha, the president of CBU Students’ Union, this news is heartbreaking for many international students who had dreams of coming to Canada. Some students have requested a cap at certain institutions, but now there is worry that their spouses may face challenges in coming to Canada. Despite the concerns, Singh Chatha remains hopeful about the new developments.

What potential economic impacts could the two-year cap have on Canadian higher education and the broader economy?

Each year, international students contribute around CA$22 billion (approximately US$16.4 billion) to the Canadian economy. The imposed cap on foreign student visas is likely to adversely affect numerous educational institutions that have expanded, anticipating a continuous influx of students. Concerns have been raised by businesses, especially in the food service and retail sectors, about potential labor shortages resulting from the cap. 

Additionally, Canadian banks, which benefit from new students through Guaranteed Investment Certificates, will also experience the impact. The overall decrease in the number of international students will pose a significant challenge for Canadian universities and the economy.

How does Canada’s two-year cap on international students compare to the policies of other popular study destinations like the United States, United Kingdom, and Australia? 

A comparative policy assessment would involve examining Canada’s two-year cap on international students in contrast to the policies of other popular study destinations such as the United States, United Kingdom, and Australia. This analysis would explore the similarities and differences in duration, criteria, and any additional regulations imposed by these countries on international students. It aims to provide insights into how Canada’s policy aligns or diverges from global practices in managing the influx of international students.

What are the long-term implications of this policy for Canada’s reputation as a global education hub?

The long-term implications of Canada’s two-year cap policy on international students may have significant effects on its reputation as a global education hub. Potential considerations include changes in the international student enrollment landscape, the perception of Canada as a destination for education, and its competitiveness compared to other countries. 

The impact on collaboration and partnerships with foreign institutions, as well as the economic contributions from international students, will likely play a role in shaping Canada’s position in the global education arena. 

Additionally, the policy’s influence on innovation, diversity, and the overall educational experience may contribute to how Canada is perceived on the global stage.

Are there any proposed alternatives or adjustments to the two-year cap that could mitigate its negative effects while still achieving its intended goals?

 It’s crucial to highlight that this new policy does not apply to students enrolled in master’s and doctoral programs, as well as those in elementary and secondary education. 

Additionally, students who currently possess study permits are not subject to the cap.

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