Canada has updated the financial proof requirement and extended work rights for international students.
Minister Marc Miller of Immigration, Refugees and Citizenship Canada (IRCC) made a significant announcement on December 7, 2023, unveiling a series of crucial updates that will have a positive impact on international students studying in or planning to come to Canada. These progressive policies aim to safeguard international students from the rising cost of living and the recent housing challenges they have been facing, demonstrating the government’s commitment to ensuring a safe and affordable educational experience for students from around the world.
As of January 1, 2024, there will be an increase in the minimum financial requirement for students applying for a study permit in Canada. Previously set at C$10,000 for nearly two decades, the new requirement will be raised to C$20,635 to reflect the rising cost of living.
In addition to the previous updates mentioned, there is an important development for international students in Canada. The waiver on working hour limits, which was initially set to expire on December 31, has now been extended until April 30, 2024. This means that international students can continue working off campus for more than 20 hours per week during the winter semester.
A financial minimum for students that accounts for the higher cost of living is being proposed.
Perhaps the most significant news in this package of announcements pertains to Canada’s revised requirements for proof of financial support, which is now mandatory for a student’s study permit application.
When international students apply for their Canadian study permit (often referred to as a student visa), they are required to demonstrate their access to a specific amount of savings, indicating their financial readiness to live and study in Canada. In recent years, this amount has been set at C$10,000 (in addition to travel expenses and one year’s tuition fees) for individual applicants. However, the escalating cost of living has rendered this figure unrealistically low for students to adequately plan and budget their expenses.
Starting now, the IRCC (Immigration, Refugees and Citizenship Canada) will increase the financial requirement on an annual basis, aligning it with the latest low-income cut-off as reported by Statistics Canada. In 2024, a single applicant will be expected to demonstrate access to a minimum of C$20,635, in addition to sufficient funds to cover their travel expenses and the cost of their first year’s tuition fees.
Effective January 1, 2024, the revised minimum amount will be applicable to all new study permit applications. This change extends to applicants utilizing Canada’s Student Direct Stream, which mandates the submission of proof of financial support in the form of a Guaranteed Investment Certificate (GIC). The GIC requirement will now be set at a minimum of C$20,635, replacing the previous minimum amount of C$10,000
The working hours limit waiver has been extended until April.
While Minister Miller’s announcement primarily emphasized the increased financial requirement, he also presented timely updates regarding several other temporary measures impacting students.
In the fall of 2022, the IRCC announced that starting from November 15, 2022, and throughout 2023, international students holding a study permit with off-campus work authorization would have the opportunity to work off-campus for more than the standard 20 hours per week while pursuing their studies.
This temporary waiver, which was initially set to expire on December 31, 2023, has now been extended until April 30, 2024. This extension is applicable to both international students who are already in Canada and incoming applicants who have submitted their study permit application on or before December 7, 2023.
This work-hours waiver has greatly benefited international students in numerous ways. It has provided them with increased flexibility in selecting their work hours, enabled them to graduate with valuable work experience, and allowed them to earn a higher income to support their studies.
Minister Miller’s announcement leaves open the potential for a permanent adjustment to the working hour’s limit, with a consideration of raising it to 30 hours per week.
We continue to examine options for this policy in the future, such as expanding off-campus work hours for international students to 30 hours per week while class is in session.
A few updates have been made to the Post-Graduation Work Permit.
Over the past few years, the Canadian government has implemented temporary changes to its renowned Post-Graduation Work Permit (PGWP) Program in response to the substantial disruptions and limitations in mobility caused by the global COVID-19 pandemic.
One of the measures implemented during the pandemic allowed international students to pursue their studies remotely online, even if they were not physically present in Canada. The time spent studying remotely was still considered valid and counted towards their future Post-Graduation Work Permit (PGWP), with a maximum allowance of 50% of the total program duration. In a recent announcement, the Immigration, Refugees and Citizenship Canada (IRCC) confirmed that this measure will continue to remain in effect for students who commence a Canadian study program before September 1, 2024. This date serves as the final deadline for students to take advantage of this unique rule
In response to the ongoing pandemic, Canada had previously introduced extensions for eligible Post-Graduation Work Permit (PGWP) holders who were unable to fully utilize their work permits after completing their studies. This extension allowed them to gain valuable work experience in Canada. Minister Miller has recently confirmed that individuals with PGWPs expiring before the end of 2023 will still be eligible for this extension. However, it was also announced that this policy will not be further extended beyond that timeframe.
These recent updates from Canada’s Immigration, Refugees and Citizenship Canada (IRCC) serve as a significant step towards ensuring the success of international students during their studies, work, and life in Canada. Apply Board is delighted to witness the Canadian government actively addressing the Challenges that have been brought to light by international students.
In 2024, we anticipate the implementation of additional measures to enhance the support and well-being of international students in Canada
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