
Canada has long been a top destination for Indian students seeking quality education, work opportunities, and a pathway to permanent residency (PR). However, recent shifts in immigration policies under Prime Minister Mark Carney could significantly impact future applicants.
In this in-depth analysis, we break down Carney’s proposed immigration reforms, their implications for Indian students, and how prospective applicants can navigate these changes.
Who is Mark Carney?
Before diving into his immigration policies, let’s briefly examine Carney’s background:
- Former Governor of the Bank of Canada (2008-2013) and the Bank of England (2013-2020).
- Served as the UN Special Envoy for Climate Action and Finance.
- Advised Prime Minister Justin Trudeau on economic recovery post-pandemic.
- Entered politics in January 2025, quickly rising to leadership due to his economic expertise.
Carney’s policies emphasize economic stability, housing affordability, and controlled immigration growth—key issues affecting Indian students planning to study in Canada.
Key Aspects of Carney’s Immigration Plan
1. Proposed Cap on Immigration
Carney has criticized Canada’s recent high immigration levels, arguing that the country lacks sufficient housing, healthcare, and job opportunities to support newcomers. His proposed solution?
- Temporarily capping immigration until Canada returns to “pre-pandemic sustainable levels.”
- Aligning immigration with housing and infrastructure capacity.
What This Means for Indian Students:
- Fewer study permits may be issued in the coming years.
- Increased competition for admissions, requiring stronger profiles (higher IELTS scores, better academic records, etc.).
- Possible delays in PR pathways due to reduced intake.
2. Prioritizing Temporary Residents for Permanent Residency (PR)
Carney supports transitioning temporary residents (students, workers) to PR status before admitting new immigrants. This aligns with IRCC’s recent “In-Canada Focus” category, which reserves 36% of economic immigration spots for those already in Canada.
Implications for Indian Students:
- Post-graduation work permits (PGWP) and Canadian work experience will be crucial for PR eligibility.
- Students should target in-demand fields (healthcare, skilled trades, STEM) to improve PR chances.
- Provincial Nominee Programs (PNPs) may become even more competitive.
3. Stricter Rules for Temporary Foreign Workers (TFWs)
Carney has criticized Canada’s over-reliance on temporary foreign workers, stating:
“We let too many people in as TFWs… and lost track of the process.”
Changes Expected:
- Tighter work permit regulations, especially under the International Mobility Program (IMP).
- Fewer LMIA-based work permits for low-skilled jobs.
Impact on Indian Students:
- Part-time work opportunities may shrink, affecting financial sustainability.
- Co-op and post-graduation work permits could face stricter scrutiny.
4. Crackdown on International Student Dependence
Canadian colleges and universities have relied heavily on international student tuition fees, leading to financial instability when student numbers drop. Carney advocates:
- Increased government funding for institutions to reduce dependency on foreign students.
- Potential further restrictions on study permits if schools fail to meet housing and support standards.
What Indian Students Should Do:
- Choose reputable public universities over private colleges (which may face closures).
- Verify institution eligibility under IRCC’s updated Designated Learning Institution (DLI) list.
5. Addressing Canada’s Housing Crisis
Canada’s housing shortage is a major factor in Carney’s immigration reforms. His plan includes:
- Boosting construction workforce through skilled trades training.
- Encouraging immigration of skilled construction workers.
Opportunities for Indian Students:
- Construction-related programs (engineering, project management, trades) may lead to faster PR.
- Co-op programs in housing development could provide work experience.
6. Immigration & Canada’s National Identity
Despite tighter controls, Carney supports immigration as a core Canadian value:
“We are a country that welcomes immigration and integrates immigrants quickly.”
Key Takeaway:
- Canada will remain immigrant-friendly, but with a stronger focus on economic alignment and integration.