Decoded: International student applications dip 46% in Canada, 36% in Aus

Policy changes are benefitting non Anglophone countries like Finland, France and Germany

In 2024, student applications to major Anglophone destinations (Canada, Australia, UK, and the US) sharply declined. Canada, for instance, experienced a staggering 46% decrease in applications, plummeting from 868,000 in 2023 to just 469,000. Australia, once a top choice for international students, also saw a 36% drop, with the number of processed applications falling from 390,000 to 176,000, according to a recent study by MSM Unify, a leading global education company. 

 

Meanwhile, the UK and the US experienced more moderate declines — 16% and 11%, respectively — but still significant, with the UK seeing 294,000 applications and the US 322,000.

 

• Canada: A 46% drop in applications, from 868,000 in 2023 to 469,000 in 2024.
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• Australia: A 36% decline, from 390,000 to 176,000.
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• UK: A 16% decrease, from 351,000 to 294,000.
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• USA: An 11% drop, from 699,000 to 322,000.

 

Why this decline? 

The decline in applications is largely attributed to stricter policies, including higher financial proof requirements, stricter evaluation of students’ intentions (especially in Australia), and changes to post-graduation work options in Canada, which have created uncertainty for prospective students. Additionally, the rising cost of living in these countries due to global inflation has further deterred students, making it more difficult for them to afford their education abroad.

 

Uncertainties around post-graduation work options have contributed significantly to declining interest in applications to these countries. Canada has revised the eligibility criteria for the Post-Graduation Work Permit (PGWP), creating apprehension among prospective students, which is major pull back. Also one of the important factor for decrease in student applications is increase in  cost of living due to rising inflation globally, the cost of living in destinations like the UK and the US have soared tremendously. This has impacted students’ ability to sustain themselves while studying, further deterring applications.

 

Attractive alternatives:

Germany, France, and Finland have emerged as attractive alternatives for international students, noted the study.

 

"These nations are leveraging progressive policies and affordability to position themselves as global education hubs. Germany hosted 380,000 international students in 2023/24, representing a 3% growth over the previous year. The country has introduced the Skilled Immigration Act, allowing students to work more hours during their studies and providing streamlined pathways to permanent residency. Also, the country’s average tuition fees remain extremely low, with many programs offered free of charge," said MSM Unify in a release. 

 

France enrolled 436,000 international students in 2023/24, a 5% increase over the previous year, it said. The country's policies aimed at improving student integration, including free French language courses and expanded housing options. France has subsidized tuition fees for international students are significantly, enhancing affordability for international students. 

 

Finland Recorded a surge in applications for English-taught programs, particularly in business and healthcare. The country has reformed residency pathways, allowing international students to bring their families and settle permanently. Finland has also Increased funding for scholarships targeting students from developing nations. 

 

"Policy changes across major study destinations have not only impacted students but also significantly afected the financial health of institutions. Reduced international enrollments are translating into lower revenues and shrinking contributions to local economies. For instance, international students added CAD 22 billion to Canada’s economy in 2022—a figure projected to decline sharply this year. Additionally, many countries depend on international graduates to address critical labour shortages in STEM and healthcare sectors. Continued enrollment declines risk exacerbating these skill gaps further," said Sanjay Laul, Founder of MSM Group.