5. Trends in international student enrolment and economic impacts in Canada

Roslyn Kunin and Associates (RKA) has so far helped to prepare estimates of international student spending and the associated economic impacts in seven editions – 2008, 2010, 2014, 2015, 2016, 2022 and 2024 – in six separate studies, dated 2009, 2012, 2016, 2017, 2023 and 2025. While the studies prepared in 2016 and 2017, as well as in 2023, essentially follow the same methodological approach as the earlier reports prepared in 2009 and 2012, there are differences in the data sources, assumptions and the model specification, in addition to the use of more recent data for impact estimates in 2014 through 2022. Nevertheless, readers will be able to gain knowledge of the magnitude of the impacts.

In this section, we show comparable values, where applicable, and highlight the trends of international student enrolment and the growing economic impacts of these students on Canada’s economy.

5.1. Comparison of the number of international students

Table 17 below shows how the number of international students has changed from 2008 to 2024^{Footnote 1}.

Between 2008 and 2016, the number of international students studying in Canada increased by 87.0%, or at an average annual rate of 8.1%. The increase is mainly attributed to the number of long-term students, those who study for longer than six months in a given year. Enrolment in this category of students more than doubled between 2008 and 2016, growing at 10.9% per year.

Between 2015 and 2016, the number of international students grew an impressive 14.4%, most of which was the results of an increase in long-term students from India studying at the college level.

The year 2022 saw the rise in the number of long-term students in Canada, after a dip in 2020 and 2021 due to travel restrictions brought on by the Covid-19 pandemic. Study permit holders from India alone increased by 47% from the year prior, to 319,130 in 2022. There was a further increase in long-term students in 2023, reaching the highest level of 1,037,165 (unadjusted study permit holders by IRCC). With immigration policy changes announced in February 2024, long-term students in 2024 were lower than 2023, yet still higher than in 2022. Between 2022 and 2024, total number of international students in Canada (including both long-term and short-term) increased by 20%.

The number of short-term students in 2024 has been derived from Languages Canada’s 2024 Annual Report and other data provided by Languages Canada. It should be noted that the drastic decline in the number of students when compared with student numbers prior to 2019 reflects the severe negative impact due to the Covid-19 pandemic and therefore does not reflect the strength of the sector.

From the table above, it is shown that the total number of international students in Canada has increased by 61.2% from 2016 to 2022, at an impressive growth rate of 8.3% per year. From 2022 to 2024, the number of international students further increased 20.0%, at an average annual rate of 9.5%.

However, it should be noted that the number of international students is expected to decline starting in 2025, due to changes in immigration policy announced in February 2024. As a result, the impacts shown in 2024 are projected to decrease significantly from 2025 onward. According to IRCC – Study permit holders by country of citizenship and year in which permit(s) became effective, if we compare Q1s, there is a 21% decrease in Q1 2025, compared to Q1 2024. By comparison, the decrease in 2020 (pandemic year) was 26%.

5.2. Comparison of overall spending

Table 18 below depicts the values of total annual spending by international students from 2014 to 2024.

Between 2016 and 2022, total annual international student spending more than doubled, from $15.5 billion in 2016 to more than $37.3 billion in 2022. This represents a 15.7% increase per year. Between 2014 and 2022, total spending of international students increased at a rate of 16.0% per year. The rate of increase in overall student spending is substantially faster than the rate of increase in the number of international students, reflecting the rise in cost of education, as well as the rise in cost of living in recent years.

Between 2022 and 2024, total annual spending of international students increased 27.3%, which represents an average annual growth rate of 12.8%.

5.3. Comparison of combined direct and indirect impacts

Finally, we present the values of combined economic impacts of the total annual spending of international students on the Canadian economy.

As noted in the table, the combined direct and indirect GDP impact of international student spending increased by 26% between 2022 and 2024, 318% (or more than quadrupled) between 2014 and 2024. International student spending directly and indirectly supported 407,260 jobs in Canada in 2024, an increase of 13% over 2022. Government tax revenue derived from international student spending rose from $2.1 billion in 2014 to $7.4 billion in 2022, and further to $9.4 billion in 2024, an increase of 348%, that is, more than quadrupled. That means, directly and indirectly, tax revenue increased at a rate of 16.2% per year between 2014 and 2024.