The Canadian government is launching new measures to draw global talent while tightening limits on foreign students, Bloomberg reported.
Prime Minister Mark Carney’s first budget sets aside C$1.7 billion ($1.2 billion) to recruit over 1,000 top international researchers, calling their expertise vital to Canada’s economic future. It also introduces an “accelerated pathway” for H-1B visa holders, following U.S. President Donald Trump’s move to raise H-1B visa fees to $100,000.
While courting skilled workers, Ottawa is reducing overall immigration targets after rapid population growth.
It plans to admit 380,000 permanent residents annually from 2026 to 2028, but will cut temporary residents by more than 40% to 370,000 by 2028.
The sharpest drop comes in study permits, which will fall to 150,000 a year from 2027—half the level set by the former Trudeau government.
Universities Canada said it supports a sustainable immigration system but urged alignment with the government’s talent agenda.
A Desjardins report said slower population growth could lift wages, ease rental inflation, and help reverse Canada’s falling GDP per capita, though it expects minimal impact on overall GDP.
The government now aims to lower the share of non-permanent residents to below 5% of the population by 2027, down from 7.3% in July.