The University of Manitoba (U of M) has witnessed a significant drop in international student enrolment, with new applications falling by 30% this year. This sharp decline is largely attributed to recent policy changes implemented by the federal government, which have left both universities and prospective students in a state of confusion.
While the U of M had initially anticipated a 20% reduction in enrolments, the actual figure has exceeded those predictions, leaving the institution struggling to fill allocated seats. This policy, aimed at alleviating pressure on Canada’s housing stock and healthcare systems, has not only impacted the university’s financial projections but also raised concerns among educators and government officials about the long-term effects on the province’s higher education system.
Financial impact on the university
According to U of M President and Vice-Chancellor Michael Benarroch, the university is bracing for a financial loss estimated to be between $5 million and $7 million as a result of the enrolment drop. International students, who pay approximately four times the tuition fees of domestic students, have become a critical revenue source for the university in recent years.
These students make up about 21% of the total student population at U of M. As tuition rates for both domestic and international students have already been increased this year—2.7% for domestic and 5.5% for international students—the added financial burden from lost revenue is causing significant concern for university administrators.
“At the heart of it, the challenge is that international students are just confused about Canada, no longer see Canada as their top option and so, they withdrew applications,” Benarroch told the Free Press. The confusion has deterred students from applying, despite the university’s best efforts to accommodate and support international enrolment.
Government’s new cap on international students
The drop in international student enrolments can be traced to new policies introduced by Immigration, Refugees and Citizenship Canada (IRCC) earlier in 2024. These policies include a cap on the number of international students, aimed at tackling the demand for public services and addressing concerns about “bad actor” institutions that have exploited newcomer students. The cap has led to a reduction in the number of students allowed to attend Canadian universities, directly affecting institutions like the U of M.
Local university officials, however, argue that the issues cited by the federal government are not prevalent in Manitoba. Advanced Education Minister Renée Cable expressed concern over the impact of the cap, describing it as having a “chilling effect” on international demand. “By and large, the demand is not there [anymore], and what we’ve heard from folks who have recruiters in other countries and who are connected to recruiters, there really is a chill to the Canadian brand,” Cable said.
Impact on other institutions in Manitoba
The policy changes are not only affecting the University of Manitoba. Several other post-secondary institutions in the province, including the University of Winnipeg, Assiniboine College, Brandon University, and Saint-Boniface University, have also reported difficulties in filling their international student quotas. These institutions have received attestation letters, which are part of the federal cap system, allowing international students to apply for study permits. However, many of these letters remain unused due to the declining interest from international applicants.
Rob Henderson, a communications officer at Brandon University, confirmed that their international applications are down, attributing the decline to the uncertainty caused by the new policies. “There was some uncertainty among international students about the new system,” Henderson said in an email.
Moreover, new deposit requirements introduced for international candidates have further complicated the application process, adding another hurdle for prospective students who might have otherwise chosen to study in Manitoba.
Federal government defends policy
Despite the criticism, Immigration, Refugees and Citizenship Canada maintains that the new measures are necessary to protect students and ensure that Canada’s education system remains equitable and sustainable. Michelle Carbert, a communications adviser for IRCC, stated that the cap was introduced to help vulnerable students and prevent institutions from exploiting them.
“The measures were introduced to ensure students arriving in Canada are set up for success and tackle issues that have made some vulnerable,” Carbert said. The federal government has also indicated that the cap could be tightened further, with the number of study permits expected to decrease by an additional 10% in 2025 compared to 2024.
While the government argues that these measures are essential, post-secondary institutions in Manitoba are facing the brunt of the impact. Cable voiced her frustration over the policy’s implications, particularly the message it sends to international students who are looking for a welcoming place to study. “Manitoba is a welcoming place. We want international students to come here, and we’re going to continue to advocate for our fair share,” she said.
Long-term implications for Manitoba universities
As universities across the country become increasingly reliant on the high tuition fees paid by international students, the drop in enrolments could have significant long-term effects on their financial stability. Many institutions have built their budgets around the assumption that international students will continue to fill classrooms and dormitories, providing a crucial source of revenue to fund programs and operations.
Benarroch noted that international students not only contribute financially but also bring diverse perspectives and experiences that enrich the learning environment at U of M. “In addition to contributing to the economy, international students bring diverse lived experiences, cultures, and perspectives to U of M,” Benarroch said.
He expressed concerns that the new federal policies could disrupt the balance that Manitoba’s universities had achieved in recent years, particularly in terms of managing enrolment and financial sustainability. “I don’t think we were overly reliant [on international students],” he said. “We were kind of thinking that the balance was just about right prior to these changes.”
Looking ahead
As the situation unfolds, Manitoba’s universities are urging the federal government to consider a more nuanced approach that would prevent cities like Winnipeg from suffering the consequences of policies aimed at solving problems that are more prevalent in larger metropolitan areas.
While it remains unclear what the 2025 enrolment figures will look like, the current trend is cause for concern. Universities and colleges are calling for more targeted policies that will allow them to continue attracting international talent without facing undue financial strain. In the meantime, institutions like the U of M will need to find ways to adapt to the changing landscape, as they work to fill classrooms and balance their budgets amidst uncertainty.
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