Canada’s 2025 Immigration Changes May Impact Indians Significantly

Canada's recent changes to immigration policies are set to have a significant impact on foreign workers and students, especially those from India. According to Immigration Minister Marc Miller, nearly five million temporary work permits held by foreign workers are set to expire by the end of next year. Workers will need to either leave the country, renew their permits, or transition to permanent residency.

In addition, around 766,000 study permits will also expire by the end of December next year. While some students may be permitted to stay longer for post-graduate studies, many will need to find ways to extend their stay or face leaving the country.

These changes align with the Canadian government’s broader efforts to reduce the influx of both temporary and permanent residents in the coming years. The goal is to ease pressure on Canada's infrastructure, healthcare, and housing systems, which have been heavily impacted by rapid population growth.

As part of the revised policy, the number of permanent residents entering Canada next year will decrease from 500,000 to 395,000, marking a 21% reduction. The number of temporary foreign workers and international students will also be reduced by 2026, with temporary foreign workers seeing a 40% drop and international students experiencing a 10% decline.

The new rules present significant challenges for Indian workers in Canada. Many foreign workers on temporary permits will find it much harder to renew their work visas or transition to permanent residency. This could make it increasingly difficult for workers, particularly those from India, to stay in Canada for the long term.

Indians form a substantial part of Canada’s immigrant population, totaling around 1.68 million people. Among them are many skilled professionals, including engineers, technicians, and scientists, who make valuable contributions to Canada’s workforce. The new policies are likely to affect this group, as many rely on temporary work permits to remain in the country.

The policy changes come at a time when Canada’s economy is facing challenges. Stephen Poloz, former Governor of the Bank of Canada, has suggested that the country could be in a recession. However, he notes that the impact has been somewhat softened by the influx of new immigrants, who help boost consumer spending. With inflation causing a decrease in consumer spending, Poloz points out that inflation has recently fallen sharply, which is typically a sign of a recession.