Canada to Revise Cost of Living Requirement for International Students from 1 January 2024

Canadian government has announced an increase in the cost-of-living requirement for study permit applicants, effective January 1, 2024. Canadian Immigration Minister Marc Miller announced on December 7, 2023, that the new cost-of-living requirement for a single study permit applicant will be $20,635, in addition to first-year tuition and travel costs.

These updated financial criteria is also applicable to the Student Direct Stream, an exclusive study permit application process for residents of 14 countries. This updated process requires additional upfront information from applicants and offers priority processing.

Cost of living increased due to growing financial requirement

This adjustment, the first since the early 2000s when it was set at $10,000, make parallel with the low-income cut-off (LICO) and will be annually updated by Statistics Canada. The change targets to address the growing disparity between the financial requirement and the actual cost of living, helping new study permit applicants from January 1, 2024. Speaking about this update, Minister Miller said,

“International students provide significant cultural, social and economic benefits to their communities, but they have also faced challenges navigating life in Canada. We are revising the cost-of-living threshold so that international students understand the true cost of living here. This measure is key to their success in Canada. We are also exploring options to ensure that students find adequate housing. These long-overdue changes will protect international students from financially vulnerable situations and exploitation.”

Updates on three temporary policies impacting international students

Minister Miller also provided updates on three temporary policies impacting international students.

• Firstly, the waiver on the 20-hour-per-week off-campus work limit will extend until April 30, 2024, providing flexibility for students and applicants.
• Secondly, the facilitative steps allowing online study time to count toward a post-graduation work permit will continue for students beginning their programs before September 1, 2024.
• Lastly, the temporary policy allowing an additional 18-month work permit to post-graduation work permit holders, responding to pandemic-related labour market interruptions, will not be further extended beyond December 31, 2023.

Canada value the substantial social, cultural and economic returns that international students bring to Canada, and for those aids to continue, Immigration Refugees and Citizenship Canada (IRCC) require tackling issues that have made some students helpless and have challenged the uprightness of the International Student Program. With the long-overdue surge to the cost-of-living threshold, students arriving in Canada will be on a tougher financial footing as they begin their studies.

To confirm your eligibility for the Canadian student visa and apply for the same in 2024, you may contact Canada Student Visa Expert at Visas Avenue on Toll-Free No. 78-18-000-777 or you can drop us an e-mail at info@visasavenue.com.

- Rajneesh Kumar