Toronto: Canada is set to reduce its intake of temporary residents—including international students and foreign workers—by nearly 43%, as outlined in the new Immigration Levels Plan released alongside the Federal Budget 2025.
Between 2026 and 2028, the number of new temporary residents will fall significantly. The government now targets 155,000 international students in 2026, down from the earlier goal of 305,000, with a further dip to 150,000 in 2027 and 2028.
Work permits under the Temporary Foreign Worker Program (TFWP) and International Mobility Program (IMP) will also decline — from 230,000 in 2026 to 220,000 by 2028. The overall temporary resident intake, which stood at 673,650 in 2025 (including 367,750 foreign workers and 305,900 students), will reduce to around 516,600 in 2026 and 543,600 in 2027.
A major share of those affected are Indian nationals, who made up 20.8% of workers under the TFWP and 36.5% of all study permit holders in 2024.
Immigration Minister Lena Metlege Diab said the move aims to “balance the number of new arrivals with the planned departures of students and workers as their status expires,” targeting a temporary resident population of under 5% by end-2027.
While temporary programs face deep cuts, permanent residency (PR) numbers remain largely stable — with a small dip from 395,000 in 2025 to 380,000 by 2028. The focus, however, will shift toward economic immigration, which is expected to make up 65% of all PR admissions by 2027, up from the current 59%.
The government also plans to launch an accelerated pathway for global talent affected by the US’s new $100,000 H-1B visa application fee, positioning Canada as a more accessible destination for skilled professionals.
The announcement reflects Prime Minister Mark Carney’s administration’s intent to bring immigration levels to sustainable proportions, responding to mounting domestic pressure and rising anti-immigration sentiment.
“We are taking back control of the immigration system and ensuring Canada remains sustainable for those who call it home,” the IRCC statement said.
