OTTAWA - Study permit issuances to Indian students in Canada experienced a significant decline in the latter part of last year, following the expulsion of Canadian diplomats by India, responsible for processing permits. This downturn was exacerbated by a diplomatic dispute over the murder of a Sikh separatist leader in Canada. Canadian Immigration Minister Marc Miller, in an interview with Reuters, expressed skepticism about a swift rebound in the number of study permits issued to Indians.

The diplomatic strain emerged when Canadian Prime Minister Justin Trudeau suggested evidence linking Indian government agents to the murder of Hardeep Singh Nijjar in British Columbia in June. This tension resulted in an 86% drop in study permits issued to Indians in the fourth quarter of the previous year, plummeting from 108,940 to 14,910, according to previously unreported official data.

C. Gurusubramanian, counselor for the High Commission of India in Ottawa, highlighted that some Indian international students were exploring alternative options due to concerns about inadequate facilities at certain Canadian institutions.

Canada has been a favored destination for international students, particularly Indians, who comprised over 41% (225,835 permits) of all permits in 2022. However, Miller acknowledged the uncertainty surrounding the diplomatic relationship and the potential impact of legal actions related to the murder.

International students contribute significantly to Canadian universities, generating approximately C$22 billion ($16.4 billion) annually. The recent slowdown in study permit issuances poses a financial challenge to these institutions. Miller emphasized the need to reduce the overwhelming volume of international students, with potential measures such as introducing a cap on admissions.

In response to the housing shortage and concerns about the sheer number of students entering the country, the Canadian government plans to implement additional measures, including a review of the postgraduate work permit program and increased scrutiny of designated learning institutes. Moreover, the government aims to address potential labor shortages by curbing the number of off-campus work hours for international students.

Despite the government's projection of hosting around 900,000 international students in 2023, three times the number from a decade ago, Miller emphasized the need for a significant reduction. He revealed that 40% of these students, approximately 360,000, were expected to be from India. While the number of permits for Indian students declined by 4% last year, they remained the largest group.