Canada Immigration Levels 2026–2028: Fewer Temporary Residents
November 6, 2025 – Canada has released a new Immigration Levels Plan for 2026–2028 that keeps permanent resident admissions relatively high but dramatically reduces the intake of new temporary residents, including international students and many temporary foreign workers.
Permanent Residents: Stability Over Rapid Growth
Under the new plan, Canada aims to welcome:
380,000 new permanent residents each year from 2026 to 2028
Slightly lower than previous projections, but still among the highest per-capita immigration levels in the worldEconomic programs (Express Entry and Provincial Nominee Programs) remain the main focus, while family and refugee programs are maintained at stable levels.
Big Shift: Cutting New Temporary Residents
The biggest change is on the temporary resident side:
Canada is reducing the number of new work and study permits issued to people outside the country.
The government’s goal is to bring the temporary resident population below 5% of Canada’s total population by the end of 2027.
New temporary resident arrival targets are being cut sharply compared with earlier plans, with a particular focus on international students and lower-wage workers.The message is clear: fewer new temporary residents, more pathways for those already in Canada to transition to permanent residence.
International Student Caps and Financial Requirements
Study permit numbers are now strictly controlled through annual caps and provincial allocations:
For 2024, the target for new study permits was around 485,000.
For 2025, IRCC plans to issue about 437,000 study permits (roughly a 10% reduction).
For 2026, the planned cap drops further to about 408,000, with additional reductions in new student arrivals to hit the 5% temporary-resident target.On top of caps, financial proof requirements have increased:
Until August 31, 2025, a single applicant had to show at least $20,635 CAD in living expenses (excluding tuition and travel).
For applications from September 1, 2025 onward, a single applicant must show $22,895 CAD in living expenses, with higher amounts for accompanying family members.These changes are designed to ensure students have realistic financial capacity and to discourage under-funded study plans.
Temporary Workers and Labour Market Focus
Canada is also narrowing the intake of temporary foreign workers:
More scrutiny on low-wage positions and sectors that rely heavily on temporary labour.
Stronger emphasis on filling verified labour shortages in areas such as healthcare, construction, trades and critical infrastructure.
New measures to encourage temporary workers already in Canada to move into permanent pathways if they meet long-term needs.Fast-Tracking Some Temporary Residents to PR
To balance tighter inflows with fairness, the government has signalled:
Limited, targeted programs to fast-track permanent residence for certain temporary workers who have strong community ties and are already contributing to the economy.
A renewed focus on arranged employment and Canadian work experience in Express Entry.What This Means for Applicants
For students:
Much tougher competition for study permit approvals.
Stronger preference for graduate-level programs, in-demand fields, and institutions with good compliance records.
Higher financial thresholds and more detailed documentation.For workers:
Easier if you are in a priority sector and already in Canada.
Harder to come as a low-wage or lower-skilled temporary worker from abroad.
More important than ever to understand transition options to permanent residence.If you’re planning to study, work, or immigrate to Canada, you now need a more strategic approach that aligns with labour market needs, demonstrates strong finances, and builds a convincing long-term plan for integration.
