Ontario Reduces International Student Spots by 23% as Federal Policies Tighten

According to Ontario's Ministry of Colleges and Universities, the province will issue approximately 117,000 study permits in 2025—down from the 141,000 permits approved this year.

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The Ford government has unveiled its updated strategy for managing international student admissions in Ontario’s colleges and universities, as federal policies introduce stricter controls. This move comes in response to a significant drop in study permit allocations and evolving regulatory challenges.

The number of international students allowed in Ontario is set to decrease by 23% in 2025, further tightening an already constrained system. According to Ontario’s Ministry of Colleges and Universities, the province will issue approximately 117,000 study permits in 2025—down from the 141,000 permits approved this year.

This reduction follows a steep decline in applications, from 235,000 in 2024 to just over 181,000 in 2025. The changes are part of a federal cap introduced in January 2024, with provincial governments tasked with enforcing these limits across educational institutions.

“We are laser-focused on equipping students with the skills needed to thrive in Ontario’s labor market,” said Nolan Quinn, Minister of Colleges and Universities. “Despite the challenges, we are committed to maintaining high-quality education across the province.”

In 2024, Ontario institutions utilized only 58% of their allocated spots for international students, leaving 42% of spaces unused. To improve efficiency, the government has introduced a monitoring system. Institutions that fail to utilize at least 50% of their allocation by June will face a 20% reduction in spots, with an additional 30% reclaimed by September if utilization remains below target.

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These reclaimed places will be redistributed to colleges and universities that have effectively filled their quotas.

The province aims to align international student placements with key labor market needs. Priority sectors include skilled trades, healthcare, and childcare, ensuring that international students contribute to addressing critical workforce shortages.

“The focus is on attracting talent that can directly support Ontario’s economic growth,” a senior government official explained.

The cap on international students has placed financial pressure on post-secondary institutions, many of which heavily rely on international tuition fees for revenue. Before the federal restrictions, international students contributed roughly one-third of total revenue for Ontario colleges. With domestic tuition frozen, the revenue gap has forced some colleges to cut programs, lay off staff, and even close campuses.

Additionally, stricter pathways for international graduates seeking permanent residency and ongoing diplomatic tensions with India have compounded the challenges, reducing Canada’s appeal as a study destination.

The provincial government is conducting efficiency reviews of publicly funded colleges and aims to finalize new funding agreements with all 24 institutions by March 2025. These agreements will emphasize effective resource utilization and alignment with labor market demands.

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