International Student Decline Leads to $34.7 Million Budget Shortfall at University of Calgary

Calgary (Rajeev Sharma):  The University of Calgary is facing a $34.7 million budget shortfall this year following a significant drop in international student enrolment, highlighting growing financial pressures on Alberta’s post-secondary institutions.
University officials reported that international student numbers fell by nearly 9 per cent, from 6,998 students last year to 6,394 this fall, resulting in an estimated $11 million loss in tuition revenue. The decline comes amid tighter federal regulations on study permits and reduced provincial funding for post-secondary education.
A spokesperson for UCalgary said, “With fewer international students paying full-tuition fees, we’re seeing that the model we’ve grown accustomed to is under strain. It means tough decisions ahead about programs, staffing, and tuition.”

Ermia Rezaei-Afsah, president of the student union, emphasized the need for government support: “We really want to see investment from the Government of Alberta into post-secondary education because now we really don’t have many options or levers left.”

The federal government is proposing to drastically reduce the number of temporary residents it allows into Canada over the next several years including international students. Finance Minister François-Philippe Champagne said the goal is to bring immigration to “more sustainable levels.” The budget outlines Ottawa’s intentions to slash the number of international student study permits to 155,000 in 2026 down from the previous target of 305,900. The target falls further in 2027 and 2028, to 150,000 permits in each year.

The university is exploring cost-containment measures and alternative revenue sources to address the shortfall while maintaining academic quality. Potential measures could include program adjustments, hiring freezes, or tuition increases for domestic and international students.

The shortfall at UCalgary reflects a broader trend among Canadian universities, many of which rely heavily on international tuition to sustain operations and are facing financial uncertainty due to fluctuating enrolments and policy changes.