Planning to study in Canada? Indian students now must show nearly ₹14 lakh in funds

Toronto: Starting 1 September 2025, international students applying for study permits in Canada will be required to demonstrate proof of financial support that is over 11 percent higher than the current threshold. According to a recent update from Immigration, Refugees and Citizenship Canada (IRCC), the minimum amount required (excluding tuition fees) will rise to CA$22,895 (Rs14,38,202) for a single applicant.

How much is the increase from the current amount?

At present, the proof of funds required is CA$20,635 (Rs1296235). The new amount represents an increase of nearly 11 percent. If an applicant plans to travel with family members, the required amount will increase further, depending on the number of dependants.

What are acceptable forms of financial proof?

Applicants can demonstrate financial support in a number of ways, including:

• A Canadian bank account in their name with the required balance
• A Guaranteed Investment Certificate (GIC), which is similar to a fixed deposit in India
• Proof of an education loan from a recognised bank
• Other standard financial documents may also be accepted.

When did Canada begin tightening rules for international students?

Canada began implementing measures targeting international students in late 2023. On 7 December 2023, IRCC announced that for new applications received on or after 1 January 2024, students would need to show CA$20,635 in available funds, replacing the older requirement of CA$10,000. This was a 100 percent hike at the time.

Has this impacted Indian student numbers in Canada?

Yes, significantly. IRCC data shows that the number of study permits issued to Indian students in the first quarter of 2025 was 30,640, down from 44,295 during the same period in 2024. This marks a 31 percent decrease.

Overall, study permits issued have also declined, from 121,070 in Q1 2024 to 96,015 in Q1 2025.

This decline follows a broader trend of reduced international student intake, beginning in the last quarter of 2023, when Canada began enforcing restrictions.

Why is the Canadian government introducing these changes?

The decision stems from concerns that record immigration is worsening housing unaffordability and placing strain on health and transport infrastructure.

In 2023, Canada issued 681,155 study permits, with Indians receiving 278,045 of them. That number fell in 2024 to 516,275 total permits and 188,465 for Indian students.

Following the April 28, 2025 Federal Election, new Prime Minister Mark Carney confirmed that the government’s policy direction on limiting temporary residents would remain in place.

He stated that temporary residents, including international students and foreign workers, would not make up more than five per cent of Canada’s population by 2027.

What is the cap on study permits going forward?

On 18 September 2024, IRCC set a new cap for 2025, limiting the number of study permits to 437,000, down from the earlier target of 485,000. This “stabilised” figure is expected to remain the same for 2026 as well.