Why is Canada capping foreign students and who will be impacted?

The new proposals will also set limits on post-graduate work permits issued to foreign students, which will likely encourage them to return to their home countries.

Canada on Monday announced a two-year cap on the intake of foreign students after explosive growth in recent years aggravated the country’s housing shortage. Last year Canada issued nearly 1 million study permits, about three times that of a decade ago, according to government data. The new proposal will cut the intake by nearly a third.