In a notable shift reflecting growing global migration policy tightening, the Government of Canada has raised the financial threshold for applicants under its popular Express Entry immigration system, particularly those applying through the Federal Skilled Worker (FSW) and Federal Skilled Trades (FST) programs. The new minimum settlement fund requirement, effective July 7, 2025, means that single applicants must now provide proof of at least CAD 15,263 (approximately ₦17 million)- an increase from the previous CAD 14,690. For a two-person household, the threshold rises to CAD 19,001 (₦21.2 million). This change, though incremental in monetary terms, could have significant implications for aspiring Nigerian migrants, given the economic realities of many applicants. It also comes in the shadow of a broader geopolitical pattern, notably the US’s recent visa reciprocity restriction against Nigerian citizens, signaling a trend of stricter immigration postures from traditional destination countries.
Understanding Canada’s Policy Shift
According to Immigration, Refugees and Citizenship Canada (IRCC), the adjustment is part of an annual update tied to Canada’s economic indicators, particularly the Low-Income Cut-Off (LICO). It is not an arbitrary measure but one aimed at ensuring newcomers have adequate resources to settle successfully without burdening the Canadian social support systems.
Applicants are required to update their Express Entry profiles by July 28, 2025, or risk being disqualified. Acceptable proof includes bank statements, investment certificates, or signed letters from financial institutions. The IRCC emphasizes that funds must be readily available, legally obtained, and under the applicant’s control; not borrowed or tied up in assets like real estate. For many Nigerians, particularly young professionals, recent graduates, or mid-level earners, this adjustment may raise the bar just high enough to slow down application momentum, especially as the naira continues to experience inflationary pressures.
Implications for Nigeria–Canada Relations
While Canada and Nigeria historically enjoy stable diplomatic and economic relations, these policy updates may cause a soft cooling in the warmth that has typically defined the immigration aspect of that relationship. Canada remains one of the top three destinations for Nigerian migrants, especially under the skilled worker stream. Nigerians were among the top five nationalities granted permanent residence in Canada in 2024.
The updated financial threshold will narrow the pool of eligible applicants from Nigeria, potentially slowing the high-skilled brain drain, but also reducing legitimate pathways for upward mobility among Nigerian youth. This could have social ripple effects, including growing desperation to seek irregular routes or a turn toward less regulated alternatives such as asylum applications.
On the flip side, Canadian immigration experts have suggested the policy is not targeted at Nigeria specifically, but is part of Canada’s evolving national strategy to balance immigration levels with labor market absorption capacity and social services delivery. Indeed, Canada has increased its immigration targets to over 500,000 newcomers annually, but with tighter screening and settlement controls.
Diplomatically, Nigerian officials will likely raise subtle concerns, about the compounding difficulty for their citizens to access legal migration routes, especially when set against the backdrop of escalating US visa restrictions. This presents an opportunity for Nigeria to review and renegotiate visa reciprocity policies, not just with the US, but also within the framework of its bilateral agreements with Canada.
Domestic Ramifications for Nigeria
The economic burden of migration continues to grow. Many Nigerians rely on family loans, cooperative societies, or informal crowdfunding to raise the required settlement funds. With the new CAD threshold, the cost of migration now exceeds ₦20 million for a modest household, factoring in application fees, IELTS tests, education credential assessments, and other procedural costs.
This inflation-adjusted barrier will particularly affect young professionals in sectors like IT and healthcare who typically form the bulk of FSW applicants; women-led households or single mothers who often face steeper challenges in raising capital, and middle-class families squeezed by domestic inflation, naira volatility, and low-interest savings. While the policy may discourage some, others may still pursue it through the Provincial Nominee Program (PNP) or study permit route, both of which have seen rising Nigerian enrollment. However, these too may face further regulation as Canada seeks to cap international student intake to manage housing shortages.
Broader Context: A Global Shift Toward Immigration Tightening
This move does not occur in isolation. Just days prior, the United States introduced a single-entry visa policy for most Nigerian applicants, reducing validity to three months; a drastic departure from previous multiple-entry allowances. The US Department of State attributed this to a reciprocity adjustment, alleging that Nigerian visa policies for American citizens are more restrictive.
Nigeria’s Ministry of Foreign Affairs, however, denies any recent changes to its visa regime that would justify such retaliation and has pledged to study the development before issuing a formal diplomatic response. Taken together, these changes reflect a broader Western recalibration of immigration and visa policies; one shaped by post-pandemic economic pressures, rising populism, domestic labor dynamics, and growing concerns over integration and border management.
Conclusion
Canada’s updated Express Entry financial requirements mark another checkpoint in a shifting global migration environment, especially for countries like Nigeria, where outbound migration is both an escape valve and a source of economic remittances. While not explicitly aimed at Nigerians, the impact will be disproportionately felt in the country, due to exchange rate weaknesses, rising cost of living, and youth unemployment. As both Canada and the US adopt tighter immigration postures, Nigerian policymakers face renewed urgency to create compelling local opportunities, or risk further alienating a disillusioned, mobile population.
From a foreign policy perspective, Nigeria must now engage in proactive, bilateral dialogue with Canada, the US, and the EU, to ensure that its citizens are not unfairly disadvantaged by sweeping visa restrictions or settlement policy changes. As the window narrows, Nigeria’s youth and middle class may soon find themselves in a tightening vise: locked out of opportunity at home, and priced out of hope abroad. It is a situation that calls not just for diplomacy, but for domestic renewal.
