International students applying for a Canadian study permit will face higher financial requirements beginning September 1st, 2025.
Immigration, Refugees and Citizenship Canada (IRCC) has announced that the cost-of-living threshold for a study permit will rise by nearly 11% from the current amount to ensure applicants are financially prepared to live in Canada.
According to Immigration News Canada (INC), the updated policy reflects rising costs of essential goods and services such as housing, food, and transportation. The IRCC has stated that the new minimum funds will be tied to Statistics Canada’s Low-Income Cut-Off (LICO), which will now be used annually to determine the required financial proof for study permits.
Updated Financial Thresholds for Study Permit Applicants
As of January 2024, a single applicant was required to show $20,635 in available living funds (excluding tuition and travel expenses). Effective September 1st, 2025, that number will increase to $22,895 — a 10.95% rise. The updated cost-of-living requirement applies to applicants studying outside of Quebec.
Accepted Forms of Financial Proof
Applicants must demonstrate they have access to the required funds using official financial documentation. The IRCC accepts several forms of proof, including:
- Guaranteed Investment Certificate (GIC) from a participating Canadian financial institution.
- Proof of Canadian bank account in the applicant’s name with transferred funds.
- Four months of bank statements showing sufficient balance.
- Bank drafts that can be converted into Canadian currency.
- Loan documentation from a recognized financial institution.
- Sponsorship letters with supporting financial documents.
- Scholarship letters or confirmation of enrollment in a government-funded program.
Documents must be in English or French, or include a certified translation, to be considered valid. The IRCC does not access or use these funds directly; they are intended solely for the student’s living expenses after arriving in Canada.
Canada’s Living Cost Standards Compared to Other Countries
Canada’s new requirement of $22,895 for a single applicant places it among the more financially demanding countries for international students.
For comparison:
- Australia: ~$21,826 CAD
- New Zealand: ~$20,340 CAD
- United Kingdom: ~$15,680 to $20,447 CAD
- United States: ~$13,500 CAD
- Denmark: ~$1,175 CAD
These figures indicate that Canada has higher financial expectations for incoming students; however, IRCC states that the change is intended to help ensure students can support themselves without relying excessively on work or outside assistance.
Quebec’s Separate Financial Requirements
Applicants intending to study in Quebec must meet different cost-of-living thresholds, as the province sets its financial standards. As of 2023, these were:
- One adult (18+): $14,349
- One minor: $7,176
- Two adults: $21,046
- Two adults and one child: $23,575
- Two adults and two children: $25,444
New Quebec-specific figures are expected to be released shortly. Applicants to Quebec institutions must comply with both provincial and federal documentation standards.
The IRCC noted the adjustment is part of an effort to match real-world costs and promote financial readiness among international students.
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