Thank you.
It's obvious to us that the post-secondary sector plays a role in the Canadian economy, a fact that's particularly true of our 22 post-secondary educational institutions in the francophone communities, which often drive local economies because they are innovation hubs, dynamic employers, consumers of goods and services, magnets for public and private investment and calling cards both here at home and abroad.
You also have to consider the work they do in incubating business startups and the productivity gains associated with research projects established in local communities and businesses. Then there are the economic activity and revenue created by generations of graduates from our institutions.
Your committee is looking for best practices and economic models that it should follow, and post-secondary educational institutions have made an impressive contribution in that area. However, our institutional network aspires to expand its contributions to Canadian society by offering new programs that are tailored to changing socioeconomic realities by attracting and retaining the local francophone clientele and establishing spaces that will continue to drive innovation. Which is why, in recent years, we have repeatedly stated our network's expectation that permanent funding of $80 million a year be established to support the sector and enable it to continue growing.
Today, however, I would like to focus on a more urgent matter. On January 22, 2024 Immigration, Refugees and Citizenship Canada, or IRCC, set a national intake cap on study permit applications for the next two years. The announcement came as a major shock to our institutional network as a whole.
We believe that the modernized Official Languages Act and the francophone immigration policy are promising new tools, provided they are complied with. However, that announcement has now brought us all, including this committee, to a first test of those federal tools and could reveal their limits.
This decision is a clear contradiction of the revised version of the francophone immigration policy that was announced on January 16, 2024. According to the policy's objectives, IRCC wishes to maximize the selection of foreign French-speaking students, enhance programs aimed at them and expand their access to francophone post-secondary educational institutions outside Quebec. The policy should constitute the backdrop against which every measure targeting the international clientele of post-secondary educational institutions is defined. However, the opposite appears to be the case.
As others have noted this week, the international clientele of post-secondary educational institutions plays a crucial role in the Canadian economy by injecting more than $22 billion into it every year. Based on various data sources, we estimate that the international clientele of member post-secondary educational institutions of the Association des collèges et universités de la francophonie canadienne, or ACUFC, generated an economic impact of more than $300 million in 2018–2019 alone.
That clientele meets a varied range of labour needs while they are studying, and they may acquire post-graduation work permits in order to add to their work experience in Canada. They may then decide to file an application to transition to permanent residency. According to a study conducted in 2020, nearly 90% of foreign students in our institutional network said they wanted to remain in Canada after graduation. This success clearly shows how IRCC should rely on our institutions to meet its new, more ambitious francophone immigration targets.
Study permit holders in our institutional network make up less than 2% of the total number of holders of study permits issued in Canada in 2022. That number is very low at the national level, but this clientele has a considerable impact at the community level. Which is why, for the moment, and given the emergency we face, we are making only one recommendation this morning.
We recommend that Immigration, Refugees and Citizenship Canada introduce measures to ensure that a national intake cap on study permit applications does not have an impact on the ability of post-secondary educational institutions in minority francophone communities to maintain and increase the number of foreign students, as the new version of the francophone immigration policy provides. For example, IRCC could designate the international clientele studying in French outside Quebec as a priority cohort, as it has previously done for other cohorts.
If we want (1) post-secondary educational institutions to retain an ability to influence the economic development of francophone communities and (2) the international clientele to feel they can contribute to the vitality of those communities, then the measure announced last week and intended to align with the other objectives of the federal government's public policy must be reviewed. This solution would be consistent with the spirit of the Official Languages Act and the francophone immigration policy and would enhance the impact that these two tools would have on the economic situation of francophone communities across the country.
Thank you.