Understanding The New Era For Canadian Study Permits

With all the recent changes to study permit policies, international students and educational institutions alike are navigating uncharted waters. From financial hurdles to shifting political priorities, study permit success now demands far more than an offer letter — it calls for preparation, partnership and policy engagement.

Leaders from immigration technology firm BorderPass and government relations experts from Crestview Strategy unpacked the changes recently in a webinar hosted by MPOWER Financing. Their message was clear: Canada remains open, but the bar is higher, and the rules are evolving.

UNDERSTANDING THE POLICY SHIFT: POLITICS, PERMITS & PRIORITIES

Ashton Arsenault of Crestview Strategy kicked off the session with a reality check: Canada’s political climate is changing, and immigration — while still central to economic growth — is facing new scrutiny.

The federal government has already moved to limit new student permits, cancelled the Student Direct Stream (SDS) program and directed provinces to reduce international student intake by 35% in 2024, with further cuts likely in 2025. At the same time, there’s a push to diversify the student base beyond traditional countries like India and China, in favor of underrepresented regions like Francophone Africa.

“The goal isn’t to close doors — it’s to ensure we don’t outpace infrastructure and public sentiment,” Ashton explains. “But it means DLIs (Designated Learning Institutions) need to be proactive, not reactive.”

A NEW FINANCIAL BAR: PROOF-OF-FUNDS PRESSURE

One of the most immediate impacts for students is financial. Students must demonstrate sufficient financial resources to cover tuition fees, living expenses and return transportation for themselves and any accompanying relatives.

Last year, the government raised the living expense requirement from CA$10,000 to CA$20,635. For many students, particularly those from emerging markets, this change is a dealbreaker.

This is where MPOWER’s loan model comes in — filling the gap for high-potential students who can’t afford upfront deposits or meet traditional bank requirements.

SMARTER APPLICATIONS WITH BORDERPASS

BorderPass’s Cedric Marin outlined how legal technology is shifting the landscape. Using AI-driven tools, BorderPass helps students prepare strong, compliant applications by flagging red flags, reviewing documents and guiding statement of purpose (SOP) development.

According to BorderPass data, over 80% of refusals are tied to financial documentation and lack of source clarity. This is because immigration officers are taking a closer look at the source and stability of financial statements. Sudden deposits, inconsistent balances and vague funding sources are among the top reasons for permit refusals.

“In a more cautious system, students need more than eligibility — they need clarity, consistency and legal backing,” Cedric emphasizes.

TIME FOR UNIVERSITIES TO STEP UP

The speakers all agreed: DLIs have a bigger role to play in ensuring their students succeed in the study permit process. To increase approval rates, institutions must feel empowered to invest in the visa process just as they would in marketing or recruitment.

That means:

• Guiding students early on documentation and financial requirements
• Partnering with trusted providers like BorderPass and MPOWER to reduce barriers
• Engaging with provincial policymakers to advocate for PAL (Provincial Attestation Letter) allocations
• Tracking student outcomes and refining strategies based on real-world data

“Brand-name schools may fare better by default,” Ashton notes, “but every institution can — and should — take steps to improve outcomes.”

LOOKING AHEAD: ACTION AMID UNCERTAINTY

Canada’s immigration framework is under active review, and the outcome of the upcoming federal election may bring additional changes. But the path forward is clear: With the right tools, partnerships and proactive support, international students can still succeed — and institutions can safeguard their global enrollment pipelines.

The study permit process has moved beyond paperwork. It’s now a strategic priority demanding institutional alignment, empathy and innovation. And for students, it could be the difference between a dream deferred and a future realized.

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Sasha Ramani is Head of Canada and Corporate Strategy at MPOWER Financing, which offers scholarships and no-cosigner loans to students from around the world to pursue their study abroad journey. To learn more about MPOWER Financing, visit www.mpowerfinancing.com.