Canada is implementing a new immigration budget that focuses on reducing the number of temporary immigrants over the upcoming three years. This shift will specifically impact the temporary foreign worker program and the international student program. Current projections estimate that the target for temporary foreign worker arrivals in 2026 will decrease to 60,000, down from 82,000 in 2025. Additionally, the target for international students will shrink to approximately 100,000, a significant decline from around 300,000 last year.
The Canadian budget indicates plans to welcome 380,000 permanent residents annually from 2026 to 2028, but it aims to lower the intake of temporary residents from 385,000 in 2026 to 370,000 in each of the following two years. This represents a dramatic reduction of over 40 percent compared to the current year's figures. For international students, the goal is to grant 155,000 visas for the year 2026, followed by a further decrease to 150,000 by 2028.
Former Prime Minister Justin Trudeau's administration had initially projected a more generous annual quota of 305,900 permits from 2025 to 2027. In a parallel move, Canada revised its tourist visa policy in 2024 by discontinuing the issuance of 10-year multiple-entry visas in an effort to tighten immigration controls.
This shift in policy arises from Canada's recent experience of an unprecedented population boom linked to the influx of temporary workers and students following the COVID-19 pandemic. Data from Statistics Canada highlights that the population surged by 1.27 million, or 3.2%, the largest increase since 1957. Temporary immigrants played a significant role, as their absence would have reduced population growth to only a third of the recorded figure.
During 2023, over 800,000 immigrants who arrived in Canada were classified as non-permanent residents, primarily as temporary workers and students. In response to rising living costs attributed to this population growth, the Canadian government has set a target to lower the percentage of non-permanent residents to below 5% of the total population by the end of 2027. This led to the recent restrictions on student immigration and the re-establishment of limits on the temporary worker program.
In early 2024, the Immigration, Refugees and Citizenship Canada (IRCC) announced that it would further decrease the number of international students allowed into Canada to 360,000, which corresponds to a 35% reduction from 2023. This policy also imposes a cap on the number of international students permitted in each province and reverses earlier plans for extensive temporary worker permits and permanent residency options. The overall strategy indicates a fundamental shift in Canada's approach towards immigration to ensure manageable growth and affordability in the future.