As Concordia faces shifting tuition policies, rising debt, and new language requirements, the university’s financial stability and recruitment efforts are being tested. What do these changes mean for the future of Concordia — and its students?
Money talk is confusing. Tuition hikes, government grants, endowments, and “clawbacks” — but what does it all mean for Concordia University, and why should students care?
Over the last few years, Concordia’s financial situation has led to tough decisions and changes that affect the entire student body. Whether it’s cuts to campus services, adjustments in tuition policies, the university’s increasing debt, or the closure of the Montreal Institute for Genocide and Human Rights Studies (MIGS), Concordia’s finances shape everything from classroom resources to student support services.
For students, the stakes are real: a financially strained university could mean fewer services, rising fees, or shifts in academic offerings.
Increased income, increased spending
In 2018, Concordia’s finances were stable, and the university was looking to the future with plans for significant infrastructure investments. That year, Quebec’s decision to deregulate tuition for international undergraduate students (except those from France) gave Concordia new autonomy, allowing it to set tuition for these students and keep 100 per cent of the revenue. But with this freedom came the loss of additional government grants.
This policy shift allowed Concordia to raise international tuition fees, boosting revenue to $628.7 million by 2019, with $365 million coming from government grants and $162.2 million from tuition. Flush with increased funds, the university invested heavily in new facilities, including the $62 million Science Hub at Loyola Campus, completed in 2020, and extensive renovations to the Henry F. Hall Building. In total, Concordia invested $91.6 million in capital projects that year.
The university also allocated funds to deferred maintenance and upgrades to its IT systems to support academic and operational efficiency. However, by the end of 2019, long-term debt had grown to over $633 million. While this debt supported growth, reliance on borrowing would soon become a challenge.
And then… the pandemic
The COVID-19 pandemic hit hard. Concordia’s dependence on auxiliary revenue sources, like residence fees and campus services, quickly became apparent as campuses emptied. Between 2019 and 2021, revenue from these services had fallen from $20.8 million to just $4.4 million. Meanwhile, total expenses climbed, driven by health and safety costs. With revenue dwindling and costs rising, Concordia’s finances became precarious.
“The pandemic worsened Concordia’s cash flow… we faced a significant deficit,” said Denis Cossette, Concordia’s chief financial officer. The deficit in question was $21 million.
Debt continued to grow, reaching $694.9 million in 2021, and cash reserves fell to just $5.4 million. To stay afloat, Concordia leaned heavily on borrowing and government support.
The tuition hikes
Just as things were beginning to stabilize, the Quebec government introduced new tuition regulations in 2023. This time, the province re-regulated tuition for out-of-province Canadian and international students, setting minimum fees and reclaiming a large portion of these new fees — a process Cossette describes as a “clawback.”
Concordia’s tuition for Canadian students from outside Quebec increased to $12,000, but the university keeps only $3,000 per student, while the other $9,000 returns to the government.
The impact of these new regulations was immediate. Concordia saw a drop in Canadian students from outside Quebec, with a 30 per cent decrease in new registrations for out-of-province students and a 12 per cent decline in new registrations overall, according to Cossette.
For international students, Concordia now faces an even greater financial hit. Cossette said that international enrollment declined by about 10 per cent, adding to the financial strain.
“We’re losing about $5,000 to $6,000 per international student,” Cossette said, due to the clawback mechanism.
In response to these financial pressures, Concordia has been scaling back certain initiatives in an attempt to balance the budget — moves that have had a visible impact on students and the community. One of the most contentious examples has been the recent closure of the Montreal Institute for Genocide and Human Rights Studies (MIGS).
“MIGS was a small, two-person organization — very lean. I don’t know what savings they could have anticipated by cutting it,” said Eric Meerkamper, a former fellow at MIGS.
Diego Osorio, a former MIGS fellow, criticized the decision’s approach.
“They decided to close MIGS, focusing narrowly on budget constraints without opening the discussion to Montreal’s community,” stated Osorio. “For me, that’s both callous and irresponsible.”
The closure has drawn attention to what Osorio and Meerkamper see as a trend toward financial decisions that, while addressing immediate budget concerns, risk eroding Concordia’s community impact and global standing.
Beyond these specific budget-driven decisions, Concordia now faces recruitment challenges due to Quebec’s shifting language policies. English-language universities will need at least 80 per cent of undergraduates to achieve a level 5 proficiency orally in French by graduation for their students starting their bachelor’s degree in Fall 2025 or later.
Level 5 proficiency in French, according to the Quebec government, is the first intermediate level of French proficiency. It is defined as having conversations and making small presentations in French around everyday topics.
Although the policy aims to strengthen language skills, Cossette believes it could deter international students, who may view it as an additional hurdle.
“Our programs are still exciting and appealing,” Cossette said. “But perception matters — students want to know they’ll feel comfortable and supported.”
Concordia’s reputation as an inclusive institution is key, particularly when it competes with universities across Canada and globally. Prospective students considering options abroad may decide against Quebec if they see language requirements as an obstacle, regardless of Concordia’s support.
Concordia’s diversity has long been one of its strengths, with students from over 150 countries contributing to a rich cultural environment. As the university navigates these financial and policy shifts, its ability to maintain this unique mix will be key to preserving its identity.
