29 votes

Canada announces cap on international students for next two years

15 comments

  1. [2]
    krellor
    Link
    It seems like this may create some short term relief. However, I would be worried about the long term consequences. Being a desirable destination for well educated and motivated students can...

    It seems like this may create some short term relief. However, I would be worried about the long term consequences. Being a desirable destination for well educated and motivated students can translate to well educated and motivated immigrants that can form the backbone of new science and technology industries. Barriers to bringing those folks into the fold seems like a dangerous strategy in the long run. Now, maybe they hope to do this just long enough while incentivizing construction.

    14 votes
    1. thecakeisalime
      Link Parent
      To be blunt, a lot of the students that have been arriving in the past several years have not been well educated or motivated students. Some of them aren't even going to school - they're just...

      Being a desirable destination for well educated and motivated students can translate to well educated and motivated immigrants that can form the backbone of new science and technology industries.

      To be blunt, a lot of the students that have been arriving in the past several years have not been well educated or motivated students. Some of them aren't even going to school - they're just working. Due to their work limitations (usually max 20 hours per week, but this was upped to 40 hours as a covid measure), they often work illegally, which is bad for the local economy, bad for others who want part time jobs, and bad for them, because it's easy to take advantage of someone who isn't going to risk deportation. It's also a lot easier to get permanent residency in Canada through a student visa than through the points system, and a lot of schools have opened up in the past few years to take advantage of this. And while the population of international students has exploded in recent years, I think this cap is actually the least important of the changes being introduced with this bill. This article explains a lot of what is going on, and gives some startling numbers:

      Mr. Genuis said the disclosure that only 343,470 of the 1,015,744 students were studying at institutions accredited by Universities Canada showed that many international students coming to Canada were studying at private colleges, technical schools and other postsecondary institutions with varying standards.

      and

      The IRCC’s Student Integrity Analysis Report, dated November, 2021, found “no shows” make up as much as 90 per cent of students at some private colleges

      The more important parts (IMO) of this bill will be that international students won't automatically qualify for work permits, and nor will their spouses. (source)

      In the weeks ahead, open work permits will only be available to spouses of international students in master’s and doctoral programs. The spouses of international students in other levels of study, including undergraduate and college programs, will no longer be eligible.

       

      international students who begin a study program that is part of a curriculum licensing arrangement will no longer be eligible for a post­graduation work permit upon graduation

      This statement really highlights how ridiculous this situation has become:

      For 2024, the cap is expected to result in approximately 360,000 approved study permits, a decrease of 35% from 2023.

      I can't find the exact number, but a 35% decrease means that ~550,000 study permits were issued in 2023. We currently have just over 1 million study permit holders, which means that over half of our international student population arrived last year. This isn't natural growth of schools expanding and students looking to get an education. It's a combination of institutions greedily accepting as many students as they can, while the international students are sold a dream of easy immigration to Canada upon completion of their degree.

      19 votes
  2. [2]
    teaearlgraycold
    Link
    Why not build more housing?

    Why not build more housing?

    4 votes
    1. Wuju
      Link Parent
      There will always be a limit to how much can be done. Canada is building more housing, but they can't keep up with the demand of population growth. The reasons they can't keep up is down to a...

      There will always be a limit to how much can be done. Canada is building more housing, but they can't keep up with the demand of population growth. The reasons they can't keep up is down to a whole host of issues, some of which being, oversea investors buying anything they can get their hands on, the cost of building materials making it less lucrative to build houses (I do believe they somewhat recently passed a bill reducing or outright removing taxes on building materials to help here), a slowdown of building for over a year due to Covid when we were already having a housing crisis, and just general population growth.

      12 votes
  3. [10]
    SirNut
    Link
    Correct me if I'm wrong, but how would international students be affecting the housing market in the short term future? I would assume most of these individuals are renting, and also living...

    Correct me if I'm wrong, but how would international students be affecting the housing market in the short term future? I would assume most of these individuals are renting, and also living concentrated around large universities.

    Personally I thought that Canada was having more issues with real estate from wealthy foreign nationals (not students) outright purchasing properties for vacation homes and such

    3 votes
    1. R3qn65
      Link Parent
      It's the rental market as well. Per the article, rents are up 22% in the last few years.

      It's the rental market as well. Per the article, rents are up 22% in the last few years.

      13 votes
    2. [5]
      Wafik
      Link Parent
      I don't think you're wrong. Reducing the number of international students renting will help a bit. But to your point, most are not purchasing houses. I am seeing a disturbing rise of...

      I don't think you're wrong. Reducing the number of international students renting will help a bit. But to your point, most are not purchasing houses. I am seeing a disturbing rise of anti-immigrant sentiment in Canada where they are being blamed for our housing crisis and healthcare issues. The pandemic unleashed a gross segment of our country that has always been there and it makes me sad to see them so vocal in our public discourse.

      9 votes
      1. [4]
        boxer_dogs_dance
        Link Parent
        However, I personally know students whose parents purchased a house for them to use while in school. It's not typical, but the parents of international students can be quite wealthy.

        However, I personally know students whose parents purchased a house for them to use while in school. It's not typical, but the parents of international students can be quite wealthy.

        11 votes
        1. unkz
          Link Parent
          My next door neighbour lives in a $4 million dollar penthouse that his parents bought him and he is an international student.

          My next door neighbour lives in a $4 million dollar penthouse that his parents bought him and he is an international student.

          6 votes
        2. DefinitelyNotAFae
          Link Parent
          It's not super uncommon for well off parents of American students, because it's cheaper than renting. They're people able to do a second mortgage (and often sell to a leasing agency or another...

          It's not super uncommon for well off parents of American students, because it's cheaper than renting. They're people able to do a second mortgage (and often sell to a leasing agency or another parent later) so it depends on the student/family.

          5 votes
        3. Wafik
          Link Parent
          It definitely happens and I don't have any numbers on it but I can't imagine that's the case for most international students.

          It definitely happens and I don't have any numbers on it but I can't imagine that's the case for most international students.

          2 votes
    3. MimicSquid
      Link Parent
      If they cut 200,000 student permits for the next two years, that's so many additional housing units available to everyone else. With the total number of households in Canada being at 15.3 million,...

      If they cut 200,000 student permits for the next two years, that's so many additional housing units available to everyone else. With the total number of households in Canada being at 15.3 million, that's a bit over 1% shift in demand for housing, assuming they get/want their own spaces.

      7 votes
    4. chocobean
      (edited )
      Link Parent
      It's the rental market as well as out right buying market. While events like this one student buying a $30m+ mansion (2016) is rare, collectively it's a very large group buying up a lot of real...

      It's the rental market as well as out right buying market.

      While events like this one student buying a $30m+ mansion (2016) is rare, collectively it's a very large group buying up a lot of real estate .

      Butler estimates roughly one-quarter of a trillion dollars — or $250 billion — has poured into Canada in recent decades through offshore investors, many of whom have used proxies.

      This would have been a good move a decade ago.

      6 votes
    5. Minithra
      Link Parent
      I'm curious if this is mostly aimed at those wealthy foreign parents of students who decide to buy a house for their child and then stick around and buy more stuff? Though I don't know how the...

      I'm curious if this is mostly aimed at those wealthy foreign parents of students who decide to buy a house for their child and then stick around and buy more stuff? Though I don't know how the healthcare would fit into it in this case. Unless there's a trend of students being able to bring family members and use their own health insurance to get treatments?

      3 votes
  4. Fal
    Link

    Canada has said it will cap the number of foreign students admitted to the country for two years in an attempt to address pressure on housing and healthcare in the country.

    The cap will result in a decrease of 35% in approved study permits.

    Over 800,000 foreign students were in Canada in 2022, up from 214,000 a decade earlier.

    Each province and territory will be allotted a portion of that total, determined by population and current student intake. Provinces will then decide how to distribute these permits across their universities and colleges.

    The cap will only apply to students at a diploma or undergraduate programme, and will not affect students applying for study permit renewals.

    4 votes