Is it still okay to apply to Canada? 🇨🇦 ❌ 👀
What does the recent diplomatic frostiness mean for students?
Good morning!
Round 1 deadlines have ended and the year’s first interview season is upon us. Preparations are in full swing. MBA Round 2 deadlines and Masters’ deadlines are in approximately 75 days. Act accordingly.
This edition of Base Camp is not about the applications though- this one is completely about Canada- what does the recent diplomatic frostiness mean for students?
Short answer- not much. Both countries have assured that recent events won’t have any impact on students.
Long answer?
Let’s dive in 🤿
Canada Dry (sorry)
Unless you’ve been living under a rock, you’ve probably caught wind of the unexpected flame of tensions between India and Canada. The diplomatic fracas has been mounting for a while, but it’s finally peaked and one (large) affected party is Indians studying in Canada. Of 600,000 international students in Canada in 2020, about 34% were Indian, so you can appreciate that this is a sizable population.
Canada has long been an attractive option for Indian students, given it offers high-quality education at an affordable cost in a safer (than the US) and multicultural environment. As MBAs in the US continue to get more expensive and out-of-reach for many, Canada has developed as a great alternative. Its programs are relatively inexpensive and offer strong value along with prospects of settling in the country.
Don’t get it twisted though, Indians students pay fees three to five times higher than what colleges charge Canadians. In a way, a large part of the private college ecosystem of Canada is currently being funded by Indians.
There is also something to be said about Canada’s immigrant friendly policies around student study permits, work opportunities for international graduates, and pathways to citizenship. Compared to most other parts of the world, Canada has a much more approachable path to citizenship/PR, allowing you to work anywhere in the country for up to three years—depending on the duration of your MBA program.
If you’re applying to Canadian B-schools either in this cycle or the next, you might be in two minds. Reports in the media are listing lack of adequate resources – importantly housing – available to students because of the intense influx. What should you do in this uncertain time?
Well, interestingly in this situation, many feel that India has the upper hand. The Canadian economy is significantly dependent on international students coming and enrolling in their courses, as well as taking relatively lower paying jobs in the country afterward. Remember, the population of the entire country is less than that of Delhi! Foreign students not only prop up private colleges with $30 billion a year, they also help sustain the real estate market, and are an essential part of Canada’s gig economy.
If India were to disallow students from going to Canada, the universities would really be hit where it hurts. Many colleges – barring the well funded ones – would take a hit, mortgage rates would rise and labour costs might also spin out of control very fast. It is in Canada’s best interests to smooth this situation post-haste, in fear that India will retaliate unfavourably.
In line with that, Canada has not stopped issuing visas to Indian students. If you have already applied, or are planning to in this cycle, things might not look very different from previous years. Some reports suggest that you can expect some delays on the visa front, but nothing too off-putting.
On the ground in Canada as well, it is life as usual for Indian students. Graduating students are being granted work permits and are in a position to stay on and look for jobs.
While these fluctuations might seem daunting in the moment and well-meaning friends and family might be reactive in their response, there is no long term reason for worry. The strength of the system – particularly the top schools – speaks for itself and as we already outlined earlier, Canada has a lot of impetus to resolve this problem quickly.
Worries about employment should not colour your decision, for that is a minimum of a 15 months down the line from now. For the intake of fall ‘24, this is not something that should affect your decision to apply today, as things will likely be back to normal by then. Particularly schools like Rotman, Ivey and Schulich – with strong brand value, deep pockets and wide and comprehensive alumni networks – are not particularly affected now and are expected to quickly regain whatever little momentum they might have lost in this period.
There is a catch here. This is not applicable to all universities – the small and unknown ones that have uncertain prospects for its students. An MBA only makes sense if you will be better off at the end of that period than you are now. Only a handful of universities in Canada are positioned to jumpstart your career in a way that inures you from some of these fluctuations. We already mentioned some but primarily – McGill, Rotman, Ivey and Schulich are very strong predictors of success.
If you’re a Canada hopeful, focus on bolstering your profile so that you have a shot at the top schools. They will not only give you more bang for your buck in terms of the value proposition, but are also more resistant to some of the fluctuations of the market at the moment, as well as some of the systemic issues that plague Canada right now. Get a strong GMAT score, build up your resume and work on your app well in time to ensure that you can fulfil your dream uninterrupted, with no pall over your head.
What are we reading at Base Camp?
Matt Levine’s great Bloomberg writeup on carbon credits - sign up for Levine’s weekly newsletter Money Stuff (it’s free, sometimes complex, always informative)
The real time updates on Israel Palestine situation on Vox
Martin Scorsese on Making “Killers of the Flower Moon” - The director discusses shooting movies outside the studio system and finding the right way to film a story about a series of murders that took place when oil was found on Osage land.
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