Canada to increase cost-of-living requirement
When it comes to accepting foreign students, Canada is among the welcoming countries in the world. However, you should ensure that you have enough money to plan for your living expenses throughout your stay in Canada before applying for a study permit. For this reason, Canada has changed the cost-of-living restrictions for students requesting study permits.
Significant Increase in Canada’s Official Cost of Living
The official cost of living in Canada is expected to more than quadruple. This move follows the nation’s experience with an unparalleled problem in student housing, accompanied by rising prices and inflation.
The alterations will become operative on January 1, 2024, according to IRCC. The cost-of-living cap for international students in Canada was increased by the government from $10,000 to $20,635. Applicants for new study permits in Canada must show proof of income of CA$20,635 that covers their first year’s tuition and travel expenses.
“The Canada to increase cost-of-living requirement for study permit applicants has not changed since the early 2000s, when it was set at $10,000 for a single applicant,” the IRCC clarified in an elaboration on the release. Because of this, the financial requirements haven’t kept up with the rising cost of living over time, which means that when students arrive in Canada, they find their money insufficient.
The Canada to increase Cost-of-Living Requirement to Study in Canada
International students requesting a study visa to Canada may submit proof in the form of bank statements, Guaranteed Investment Certificates (GICs), sponsorship letters, scholarship/award letters, or other documents attesting to their ability to cover the cost of living.
The move addresses issues when it comes to international students in Canada struggling to find adequate housing as well as with the growing costs and expenses.
“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.” said Marc Miller, Minister of the IRCC.
During studies in Canada, living expenses include accommodation expenses, room and board expenses, food expenses, travel expenses, textbooks, weather-related expenses, and entertainment expenses.
LIST OF LIVING COSTS IN CANADA FOR EVERY INTERNATIONAL STUDENT
| EXPENSES IN CANADA FOR STUDENTS | COST PER MONTH IN CANADA |
| Accommodation | 700 – 1000 CAD (On Campus) 400 – 700 CAD (Off campus) |
| Food & Drinks. | 200 – 600 CAD |
| Transportation | 80 – 120 CAD |
| Books & Stationary | 200 – 350 CAD |
| Entertainment | 100 – 200 CAD |
Impact on Indian Students by the Revised Cost of Living Expenses
The government has tried to close the gap that existed between the prior financial criteria and the current cost of living in Canada, which has been rising dramatically in recent years. Indians were particularly impacted by the increase in living expenses because, in 2022, 2.26 lakh international students from India accounted for 40% of all students enrolled. 3.2 lakh Indian students are in Canada right now with student visas.
In final analysis, the government’s intention to guarantee international students’ financial security during their stay in Canada is demonstrated by the decision made by Canada to more than double the cost-of-living standards for them starting on January 1, 2024. While students battle with the elevated CA$20,600 threshold, it’s critical to prepare ahead of time and comprehend the implications of it. There are additional difficulties associated with the higher expense, particularly in locating acceptable housing.
Nonetheless, these foreign students contribute significantly to Canadian innovation and campus life. A thorough grasp of what it means to pursue your academic objectives while guaranteeing financial stability throughout your stay in Canada is essential for navigating the changing financial landscape.
