Canada’s Revised Financial Requirements for Student Visa Applicants

Canada is implementing significant reforms for international students starting in 2024. The key change is the increase in the cost-of-living requirement for study permit applicants. As of January 1, 2024, the new minimum financial threshold will be CAN 20,635, up from the current CAN 10,000. This adjustment aims to better protect international students, ensuring their funds align with the rising cost of living in Canada. The updated financial guidelines will apply to study permit applications received on or after January 1, 2024, impacting new applicants.

This initiative seeks to prevent student vulnerability and exploitation, acknowledging potential variations in the impact on each applicant. In addition to the financial adjustment, there are ongoing discussions regarding key reforms and updates for international students, creating a dynamic landscape for those planning to pursue education in Canada.

Here’s a breakdown of the key changes:

1. Financial Adjustment: The hike is attributed to the acknowledgment that the previous requirement did not align with the rising cost of living in Canada. Students often found their funds insufficient upon arrival, prompting the revision.
2. Annual Adjustments: Going forward, the cost-of-living requirement will be annually adjusted based on Statistics Canada’s updates to the low-income cut-off (LICO). LICO sets the minimum necessary income to ensure individuals can cover basic necessities without disproportionate expenditure.
3. Student Direct Stream (SDS) Impact: The new financial guidelines will apply to the Student Direct Stream, a study permit stream expediting applications from residents of 14 countries.
4. Preventing Vulnerability: IRCC aims to mitigate student vulnerability and exploitation through this adjustment. Recognizing varying impacts, IRCC plans targeted pilots next year to assist underrepresented cohorts of international students.

In addition to the cost-of-living adjustment, IRCC extends the waiver on the 20-hour work per week cap for international students until April 30, 2024. Minister Miller also announced extensions for the Post Graduation Work Permit (PGWP) measures.

Stay informed and plan your educational journey responsibly.

🌐 Sources

1. fragomen.com – Canada: Increased Cost-of-Living Requirements and Other Policy Updates
2. canada.ca – Revised requirements to better protect international students
3. cbc.ca – Canada has new requirements for international students
4. cicnews.com – IRCC increases cost-of-living requirement for study permit applicants
5. ctvnews.ca – International students: Canada to double cost-of-living requirement
6. indiatimes.com – Canada doubles funds needed to be eligible for student visa