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Canadian Universities Struggle Amid International Student Cap

international students at university

Canadian universities are grappling with significant financial challenges following the federal government’s decision to cap international study permits. The 35% reduction in permits, announced last year, limits the number of international students to approximately 360,000 for 2024. This has triggered layoffs, hiring freezes, and cuts to services across the post-secondary education sector.

International students, who often pay tuition fees four to five times higher than domestic students, are a crucial revenue source for universities. With Ontario universities facing a projected $600 million shortfall in the upcoming fiscal year, Steve Orsini, president of the Council of Ontario Universities, described the impact as a “perfect storm” of reduced revenue streams and insufficient government funding.

In British Columbia, similar challenges persist. Jessie Niikoi, chair of the British Columbia Federation of Students, highlighted widespread cuts, including reduced library hours and academic advising services. She emphasized the need for increased government support to prevent further deterioration of the post-secondary system.

The cap on international students has halved the number of study permits for Ontario and B.C., prompting provincial governments to step in with additional funding. Ontario introduced a three-year, $903 million sustainability fund and maintained a domestic tuition freeze. Meanwhile, B.C. increased its post-secondary budget by 24%, totaling $3.12 billion for 2024/25.

Despite these measures, the reliance on international tuition remains a concern. Reports show tuition from Indian students alone surpasses provincial funding contributions in Ontario. Immigration Minister Marc Miller defended the cap, citing the need to address exploitative practices within the system. However, he also called for universities to reassess their funding models, labeling their reliance on international fees as unsustainable.

Students and education leaders urge provincial and federal governments to collaborate on long-term funding solutions, ensuring public institutions can thrive without overreliance on international enrollment. Without decisive action, declining enrolments may jeopardize Canada’s global reputation as a leading education destination.

 

Source: CTVNEWS

 

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