Canada-India Diplomatic Spat Sparks 86% Drop in Study Permit to Indian students

Late last year, Canada witnessed a significant decline in study permits issued to Indian students, attributed to a diplomatic rift. The expulsion of Canadian diplomats processing permits by India, coupled with a diplomatic dispute over the murder of Khalistani terrorist Hardeep Singh Nijjar in Canada, led to a sharp drop in applications. Immigration Minister Marc Miller expressed doubt about a quick rebound in permit numbers, citing strained relations between the two nations. Diplomatic tensions resulted in a substantial reduction in the ability to process applications from India, leading to an 86% decline in study permits issued to Indians in the fourth quarter of the previous year.

Canada faced repercussions as it withdrew two-thirds of its staff from India in October. The dispute also prompted Indian students to explore educational opportunities in other countries. The decline is noteworthy as Indians constituted the largest group of international students in Canada, receiving over 41% of permits in 2022. Miller acknowledged the challenges posed by the strained relationship, expressing uncertainty about its resolution.

International students contribute significantly to Canadian universities, generating about C$22 billion annually. The government, already seeking to limit the overall number of international students entering the country, plans additional measures, including a possible cap, in the first half of this year. Miller highlighted concerns about the overwhelming volume of students and proposed addressing postgraduate work permits and tackling "fly-by-night" universities. The government anticipates challenges in managing labor shortages due to proposed curbs on off-campus work hours for international students.

Despite the tensions and challenges, Canada remains a popular destination for international students due to favorable post-course work permit policies. The government aims to implement measures to ensure the sustainability and quality of its international student programs.