Government of Canada increases reach of Canada Student Loan forgiveness for nurses and doctors in underserved rural and remote communities

From: Employment and Social Development Canada

News release

November 12, 2024               (Sheet Harbour, Nova Scotia)                Employment and Social Development Canada

Canada is facing a shortage of health professionals, particularly in rural and remote communities that face unique challenges attracting and retaining health care workers. The Government of Canada is taking steps to ensure Canadians have access to health care no matter where they live.

Today, Sean Fraser, Minister of Housing, Infrastructure and Communities, on behalf of Randy Boissonnault, Minister of Employment, Workforce Development and Official Languages, announced that doctors and nurses working in communities of 30,000 or fewer are now eligible for Canada Student Loan forgiveness. The amendment to the definition of “underserved rural or remote community” means doctors and nurses working in over 200 new communities qualify for the benefit.

This change is expected to incentivize over 900 additional doctors and nurses to work in rural and remote communities over the next 10 years. It is also expected to increase the availability of health care services for approximately 1.7 million Canadians living in newly eligible areas.

This announcement builds on other recent investments including a 50% increase to the maximum amount of forgivable Canada Student Loans for doctors and nurses who work in underserved rural or remote communities. Family physicians and family medicine residents in these communities are now eligible for up to $60,000 in loan forgiveness over five years, and a nurse or nurse practitioner is eligible for up to $30,000 in loan forgiveness over five years.

Reducing financial barriers to education and training for nurses and doctors can encourage many talented Canadians to pursue this career option and improve access to health care so that Canadians across the country get the quality care they need. 

Quotes

“Getting health professionals to move to rural and remote areas can be tough. Working far from major centres can bring challenges in terms of resources, support, and workload. This is why we are helping students and healthcare practitioners pursue their professional careers without being saddled by student debt.”

– the Honourable Sean Fraser, Minister of Housing, Infrastructure and Communities

“Nova Scotians in rural and remote communities deserve quick and efficient healthcare. That starts by bringing more doctors and nurses to their health centres. Today, we’re doing just that by expanding student loan forgiveness to healthcare practitioners working in small communities. This will increase healthcare availability across the province and draw more than 900 nurses and doctors to their hospital rooms and clinics over the next ten years.”

– the Honourable Randy Boissonnault, Minister of Employment, Workforce Development and Official Languages

Quick facts

  • The Canada Student Financial Assistance Program provides Canada Student Grants and Canada Student Loans to help students pay for their post-secondary education. 

  • Eligible communities are based on Statistics Canada’s definition of population centres and rural areas. A population centre is an area with a population of at least 1,000 and a population density of 400 persons or more per square kilometre, based on population counts from the current Census of Population. All areas outside of population centres are classified as rural areas. 

  • Communities that were previously eligible will remain eligible until the 2026 Census. Changes in the eligibility of communities will be updated as the new Census of Population is released every five years.

  • Budget 2024 announced the Government of Canada’s intention to permanently expand the reach of Canada Student Loan forgiveness to early childhood educators, dentists, dental hygienists, pharmacists, midwives, teachers, social workers, psychologists, personal support workers and physiotherapists. The expansion to the list of occupations eligible for the Canada Student Loan forgiveness benefit is expected to be implemented in 2025–26, subject to regulatory approvals.

Associated links

Contacts

For media enquiries, please contact:

Wyatt Westover
Press Secretary
Office of the Minister of Employment, Workforce Development and Official Languages
wyatt.westover@hrsdc-rhdcc.gc.ca

Media Relations Office
Employment and Social Development Canada
819-994-5559
media@hrsdc-rhdcc.gc.ca
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