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Fri Aug

Canada increases settlement funds required for AIP.

Canada continues to adjust its immigration programs to reflect economic realities, cost-of-living pressures, and the need to support newcomers’ successful settlement. One of the most recent updates comes from Immigration, Refugees and Citizenship Canada (IRCC), which has announced an increase in settlement funds required for applicants under the Atlantic Immigration Program (AIP). As of July 29, 2025, foreign nationals applying through the program will need to show higher proof of funds compared to previous years. While the increment is relatively small, an additional $140 for single applicants compared to 2024, it reflects rising costs of living across Canada, including in the Atlantic provinces.

For instance, the minimum requirement for a family of one rose from $3,672 in 2024 to $3,815 in 2025, representing a 3.89% increase. Larger families will need to show proportionally higher amounts.

Here’s a breakdown of the new settlement fund requirements:

Family SizeFunds Needed (2025)Funds Needed (2024)
1$3,815$3,672
2$4,750$4,572
3$5,840$5,620
4$7,090$6,824
5$8,042$7,740
6$9,070$8,729
7$10,098$9,718
Each additional member+$1,028+$989

Notably, foreign nationals already working in Canada on a valid work permit are exempt from the settlement funds requirement, ensuring that those already integrated into the Canadian labour market face fewer barriers to permanent residency.

Settlement funds serve a crucial purpose: they enable newcomers to financially support themselves and their families during the initial transition period after immigration. The AIP relies on these funds because the program brings skilled workers and international graduates to smaller communities in Atlantic Canada. These regions may not have the same level of social support networks or economic opportunities as larger metropolitan centers.

Proof of Funds: What IRCC Accepts

Applicants must provide official documentation to demonstrate they meet the settlement fund requirements. It typically involves letters from banks or financial institutions that include:

  • Applicant’s full name;
  • Bank/financial institution’s contact information;
  • Details on outstanding debts;
  • Account numbers, opening dates, balances, and six-month average balances.

Crucially, the funds must be readily accessible and legally transferable upon arrival. You cannot use real estate equity or borrowed money as collateral. Married applicants can demonstrate funds in joint accounts or in accounts held under a spouse’s name, provided they provide proof of access to these accounts.

Understanding the Atlantic Immigration Program (AIP)

The AIP is an employer-driven immigration pathway designed to address demographic challenges and labour shortages in Atlantic Canada. The four provinces of New Brunswick, Newfoundland and Labrador, Nova Scotia, and Prince Edward Island have long faced issues such as aging populations, outmigration, and slow population growth. Canada created the AIP to attract foreign talent, fill gaps in local labour markets, and help build sustainable communities.

Eligibility streams:

  • Skilled workers (Canadian or international experience)
  • International graduates of Atlantic post-secondary institutions

Additional requirements

Candidates must meet education, language, and settlement funds criteria.

Importantly, candidates with endorsed job offers can also apply for a special two-year work permit, which allows them to work. At the same time, immigration authorities are processing their permanent residency application.

If you are looking to study, work, visit or migrate to Canada, talk to I Can Help Immigration Services at +1 778 239 7861 or +1 647 453 7660 with RCIC # R413239, Canada’s No.1 Immigration & Visa Company, to get the best help you need.

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