Essential Updates in Canadian Immigration

1. Federal Budget

The 2025 federal budget, tabled on November 4, introduces a significant rebalancing of Canada’s immigration programs. The government aims to reduce reliance on temporary admissions while strengthening pathways to permanent residence and economic growth.

Major reduction in temporary residents

The government is significantly tightening temporary immigration over the next few years:

• 2026 target: 385,000 temporary residents
  • This is 43% fewer than the previous plan for 2026.
• 2027–2028: 370,000 per year, continuing the downward trend.
  • Compared to last year’s plan (516,000), this represents a 25% cut for 2027-2028.

This also includes a dramatic 60% reduction in international students (155,000 in 2026 and 150,000 in 2027 and 2028) and fewer work permits and asylum claims.

Permanent residency and economic immigration

While temporary admissions are being lowered, the permanent resident target remains stable at around 380,000 per year, but with a different composition:

• The share of economic immigrants will rise from 59% to 64% by 2028.
  • Economic immigration at around 239,000 in 2026 to 244,700 in  2027 and 2028. 
• The government proposes to fast-track 33,000 temporary workers to permanent residency within two years.
• A new accelerated pathway for the U.S. H-1B visa holders will open, targeting skilled technology workers.
• Family reunification targets at around 84,000 in 2026 and 81,000 in 2027 and 2028.

Canada is focusing on welcoming more targeted and economically aligned newcomers.

To support this shift:

• $97 million is being redirected to speed up foreign credential recognition.
• $1.7 billion over 13 years will attract high-level international researchers to Canadian universities.

For more information, see the Federal 2025 budget here: https://budget.canada.ca/2025/home-accueil-en.html. 

Reminder of recent Canadian immigration updates:

1. Quebec: Skilled Worker Selection Program (PSTQ) uncertainty and waiting times 

Since September 12, 2025, 68,603 individuals have expressed interest in immigrating to Québec for economic reasons, yet only 1,038 people (≈1.5%) received an invitation to apply for permanent residency under the Programme de sélection des travailleurs qualifiés (PSTQ).

This makes up only 1.5% of economic immigration applicants. Most foreign workers and international students face long waits and uncertainty.

The PSTQ is now the sole pathway for economic immigration to Québec, replacing the Diplômés du Québec, Temporary Foreign Worker streams of the Programme de l’expérience québécoise (PEQ), and the regular skilled worker program (PRTQ). Other immigration pathways, such as asylum, humanitarian immigration, and family reunification, remain separate.

Key Points:

• Candidates submit an expression of interest and are evaluated based on points for education, work experience, French proficiency, age, and region of residence.
• Only individuals in Québec with very high scores (700+) have received invitations so far.
• Many international students and temporary foreign workers who invested in relocation and training are now facing uncertainty.

Québec’s economic immigration pathway is now highly selective; careful planning and early application are more important than ever. For more information tailored to your needs, contact us today.

1. Québec Study Permits: Caps Introduced on CAQ Applications

The Québec government has also introduced caps on Certificat d’acceptation du Québec (CAQ) applications for international students. Effective February 26, 2025, a total of 124,760 applications can be submitted until February 26, 2026.

A valid CAQ is required before applying for a Canadian study permit if you plan to study in Québec.

Breakdown of CAQ numbers:

• Universities: ~63,000 applications
• Colleges / Cégeps / Vocational training institutions: Remaining spots allocated across institutions

Each institution will have its own cap on applications. The Québec government has made available a tracking table showing the number of remaining spots for each institution. This tool allows students to monitor availability and plan their applications accordingly. Visit the tracking table here.

Exemptions:

• Applications submitted before February 26, 2025
• Renewals for the same program and institution
• Students in primary or secondary education

Implications for applicants:

With the new admission limits, timely action is more important than ever. Applicants should submit their applications early and monitor CAQ quotas closely, as some institutions have already reached capacity. If their preferred school is full, they should be ready to pivot toward alternative programs or institutions to keep their plans on track.

See the Quebec Government’s official announcement here.