Indian students planning to pursue higher education in Canada will now need to show significantly more financial backing. Beginning September 1, 2025, applicants for a Canadian study permit must demonstrate proof of at least CAN $22,895 (approximately ₹14 lakh) in living expenses—an increase from the current requirement of CAN $20,635.
This update was announced by Immigration, Refugees and Citizenship Canada (IRCC) on June 2, 2025, and it applies to international students heading to all provinces and territories outside of Quebec. The revised financial threshold is in addition to the cost of the first year’s tuition and travel expenses.
Why the Increase?
The adjustment reflects Canada’s rising cost of living and is part of an annual update aligned with the low-income cut-off (LICO). This ensures that international students can sustain themselves while studying in Canada. For those who plan to bring family members, the required financial proof increases with each dependent.
Updated Proof of Funds Requirements (Effective September 1, 2025)
| Family Size | Minimum Funds Required (CAN $) |
|---|---|
| 1 person | 22,895 |
| 2 people | 28,502 |
| 3 people | 35,040 |
| 4 people | 42,543 |
| 5 people | 48,252 |
| 6 people | 54,420 |
| 7 people | 60,589 |
| Each additional member | 6,170 |
These new thresholds will apply only to study permit applications submitted on or after September 1, 2025. Any applications filed before that date will be evaluated based on the existing CAN $20,635 benchmark.
What Counts as Proof of Funds?
To meet the financial requirement, students must provide valid documentation that confirms their ability to cover living expenses in Canada. Acceptable forms of proof include:
- A Canadian bank account in the applicant’s name (if funds are already transferred)
- A Guaranteed Investment Certificate (GIC) from a participating Canadian bank
- A verified student or education loan from a recognized financial institution
- Bank statements from the past four months
- A bank draft convertible to Canadian dollars
- A letter of financial support from the sponsor or educational institution
- Evidence of scholarship or funding from within Canada
Students applying with dependents—such as a spouse or children—must provide proof of additional funds to cover their living costs.
What Indian Students Should Know
With the increasing cost of education and living abroad, it’s crucial for students and their families to plan finances well in advance. This change underscores Canada’s focus on ensuring that international students are financially prepared to live and study in the country without undue hardship.
Indian aspirants are advised to begin preparing documentation early and consult authorized immigration advisors or educational consultants for assistance. Demonstrating strong financial preparedness can significantly improve the chances of a successful visa application.
