The Canadian government has announced that the cost-of-living financial criterion for study visa applicants will increase from the original $10,000 to $20,635 as of January 1, 2024.
The review was announced on Thursday by the Honourable Marc Miller, Canada’s Minister of Immigration, Refugees, and Citizenship. According to him, the new cutoff will be modified annually when Statistics Canada updates the low-income cutoff (LICO).
LICO stands for the lowest income required to guarantee that a person does not have to spend a larger percentage of their income on needs.
The cost-of-living threshold for study visa applicants has remained at $10,000 for a single applicant. since the early 2000s, according to statistics on the Canadian Government website.
Since the financial requirements haven’t kept up with the rising cost of living, students may find themselves in financial difficulties when they arrive in Canada and discover their funds are insufficient.
Therefore, in 2024, a single candidate will have to demonstrate that they have $20,635, which is equivalent to 75% of LICO, plus the cost of their first year’s tuition and transportation. New applications for study permits submitted on or after January 1, 2024, shall be subject to the modification.
Minister Miller stated, “Although this will help reduce student vulnerability and exploitation, We recognize that the impact of the change could vary depending on the applicant. Next year, in collaboration with partners, we intend to implement targeted pilots that will test new ideas aimed at helping underrepresented cohorts of international students pursue their studies in Canada.
“Today’s announcement follows important reforms to the International Student Program announced on October 27, 2023, regarding the development of a new framework to recognise learning institutions that provide top-quality services and support, including housing, to international students. We expect learning institutions to only accept the number of students that they can provide adequate support for, including housing options.
“In welcoming international students, we have a responsibility to make sure that students are supported when they come to our country. Ahead of the September 2024 semester, we are prepared to take necessary measures, including limiting visas, to ensure that designated learning institutions provide adequate and sufficient student support as part of the academic experience. In order to achieve this result, it is imperative to work together with provincial and territorial governments, learning institutions and other education stakeholders, so we can ensure international students are set up for success in Canada.”
