Universities struggling as international students skip Canada

Canadian universities are experiencing a decline in international student enrolment rates, a trend linked to stricter immigration policies. The country saw the highest number of universities reporting a dip in international students compared to other regions, including the United States.

Decline in International Student Enrolment

A recent Global Enrolment Benchmark Survey, conducted in collaboration with NAFSA, Oxford Test of English, and Studyportals, analyzed data from 461 institutions across 63 countries, including 20 from Canada. The survey focused on enrolment patterns from August to October 2025.

The report indicates that 82 per cent of Canadian universities reported a decrease in undergraduate enrolments, while 71 per cent saw fewer postgraduate students. On average, Canadian universities experienced a 36 per cent drop in bachelor’s degree enrolments and a 35 per cent drop in postgraduate enrolments – the largest decline observed globally.

According to the survey, 90 per cent of universities attribute the decline to “restrictive government policies.” Cost of living and tuition were cited as factors by only 15 per cent of universities.

“The ongoing IRCC policy changes — particularly the national cap on study permits, new proof-of-funds requirements, and shifting PGWP eligibility — have created uncertainty and damaged Canada’s reputation as a reliable study destination,” the survey reads.

Despite declines from key markets like India and China, universities are reporting increased interest from students in Africa and Southeast Asia. In response, 60 per cent of Canadian universities are planning to diversify into new markets.

The falling enrolment numbers are prompting financial adjustments, with 60 per cent of institutions preparing for budget cuts and 50 per cent planning staffing reductions in 2026.

As Canada experiences a decrease in international students, the UK, other European countries, and Asia are seeing an increase in enrolment. The decline in international students has contributed to a record-breaking drop in Canada’s population, a trend that may continue following the announcement of limits on study permits for 2026.