Canada’s federal election held on April 28 returned the Liberal Party to power with a minority government under Prime Minister Mark Carney. In his first press conference after the election, Mr Carney stated that immigration will remain a key policy area and confirmed that the government will continue with reduced immigration targets over the next three years.
The government’s 2025–2027 immigration plan outlines lower annual targets for permanent residents and, for the first time, introduces limits on temporary residents, including international students and foreign workers. This marks a significant change, as earlier immigration plans did not place caps on temporary migration.
Immigration, Refugees and Citizenship Canada (IRCC) aims to admit 395,000 permanent residents in 2025, followed by 380,000 in 2026 and 365,000 in 2027. These figures are well below the previous target of 500,000 permanent residents annually.
The plan also aims to reduce the share of temporary residents to 5% of the total population by 2026. According to Statistics Canada, as of Q1 2025, there were just over 3 million non-permanent residents in Canada, including about 1 million international students. With Canada’s population estimated at 41.5 million, temporary residents currently make up roughly 7.25% of the total.
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The Bank of Canada has indicated that it is unlikely the 5% target will be reached by 2026. Mr Carney acknowledged this view and said that the government will aim to meet the 5% threshold by the end of 2027 instead.
To achieve this reduction, the government will continue to limit new arrivals. Policy changes in 2024 already introduced an enrolment cap on international students. Although IRCC data still recorded nearly 1 million foreign students at the end of 2024, reports from institutions across Canada suggest significant enrolment declines, which are expected to be reflected in future statistics.
The cap on new students and tighter controls on temporary migration are expected to remain in place through 2027. Reduced permanent resident targets will also result in a more competitive process for international graduates seeking to stay in Canada.
Leaders in international education responded quickly to the election outcome and the outlook for the sector.
According to a report by ICEF Monitor, “In recent years, Canada’s international education sector has been tested,” said the Canadian Bureau for International Education (CBIE). “Policy shifts, processing challenges, and reputational impacts have placed new pressures on students, institutions, communities, and industries across the country. At this critical juncture, we must now work together to rebuild trust, modernize systems, and strategically position international education as a cornerstone of Canada’s prosperity and resilience.” Universities Canada added, “Canada can’t win the race for top talent without a bold, coordinated plan. As other countries ramp up recruitment and with growing uncertainty in the US, delays in visa processing and unclear immigration pathways are costing Canada talent and opportunity. Canada’s global reputation has taken a hit with recent policies eroding the trust and confidence that once made Canada a top destination.”
Pari Johnston, CEO of Colleges and Institutes Canada (CICan), said, “Congratulations to Prime Minister Mark Carney and all elected parliamentarians. As the trainers of the builders, makers, growers, first responders and caregivers Canadians depend on, we look forward to working together in the years to come to meet the moment and build a strong and resilient Canada.”
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Immigration, Refugees and Citizenship Canada (IRCC) aims to admit 395,000 permanent residents in 2025, followed by 380,000 in 2026 and 365,000 in 2027. These figures are well below the previous target of 500,000 permanent residents annually.
The plan also aims to reduce the share of temporary residents to 5% of the total population by 2026. According to Statistics Canada, as of Q1 2025, there were just over 3 million non-permanent residents in Canada, including about 1 million international students. With Canada’s population estimated at 41.5 million, temporary residents currently make up roughly 7.25% of the total.
(Join our ETNRI WhatsApp channel for all the latest updates)
The Bank of Canada has indicated that it is unlikely the 5% target will be reached by 2026. Mr Carney acknowledged this view and said that the government will aim to meet the 5% threshold by the end of 2027 instead.
To achieve this reduction, the government will continue to limit new arrivals. Policy changes in 2024 already introduced an enrolment cap on international students. Although IRCC data still recorded nearly 1 million foreign students at the end of 2024, reports from institutions across Canada suggest significant enrolment declines, which are expected to be reflected in future statistics.
The cap on new students and tighter controls on temporary migration are expected to remain in place through 2027. Reduced permanent resident targets will also result in a more competitive process for international graduates seeking to stay in Canada.
Leaders in international education responded quickly to the election outcome and the outlook for the sector.
According to a report by ICEF Monitor, “In recent years, Canada’s international education sector has been tested,” said the Canadian Bureau for International Education (CBIE). “Policy shifts, processing challenges, and reputational impacts have placed new pressures on students, institutions, communities, and industries across the country. At this critical juncture, we must now work together to rebuild trust, modernize systems, and strategically position international education as a cornerstone of Canada’s prosperity and resilience.” Universities Canada added, “Canada can’t win the race for top talent without a bold, coordinated plan. As other countries ramp up recruitment and with growing uncertainty in the US, delays in visa processing and unclear immigration pathways are costing Canada talent and opportunity. Canada’s global reputation has taken a hit with recent policies eroding the trust and confidence that once made Canada a top destination.”
Pari Johnston, CEO of Colleges and Institutes Canada (CICan), said, “Congratulations to Prime Minister Mark Carney and all elected parliamentarians. As the trainers of the builders, makers, growers, first responders and caregivers Canadians depend on, we look forward to working together in the years to come to meet the moment and build a strong and resilient Canada.”
