CANADA IMMIGRATION

SUSTAINABLE IMMIGRATION IS THE NEW MANTRA

“We’re in the midst of a housing crisis in Canada, and the unfortunate truth is we lack the necessary infrastructure to accommodate immigration at the 2022-24 rate.”

A new study by the Fraser Institute reveals that from 2000 to 2015 Canadian immigration (including temporary foreign workers and international students) grew on average by 3.5 per cent per year.

However, from 2016 to 2024 (excluding 2020) immigration grew annually at 21.3 per cent – more than six times the 2000-2015 pace.

The sharp rise in recent years reflected both planned increases in permanent immigrant inflows as well as unprecedented and largely unplanned growth in the numbers of temporary foreign workers, international students and asylum seekers.

For example, in 2024 alone, 485.6 thousand permanent immigrants entered Canada, along with 518.2 thousand international students and 912.9 thousand temporary foreign workers.

However, due to concerns about the impact of unprecedented immigration on housing affordability, employment opportunities (or lack thereof), access to healthcare and other issues, late last year the federal government unveiled plans to substantially reduce immigration levels over the 2025-27 period, affecting permanent immigrants, international students, and other temporary visa holders.

The composition of immigration also changed dramatically during this period.

From 2000 to 2015, the average share of total immigrants in the permanent category was 42.1 per cent while the non-permanent share (mainly international students and temporary workers) was 57.9 per cent. From 2016 to 2024 (excluding 2020 due to COVID), permanent immigrants averaged 27.7 per cent of total in-migration versus 72.3 per cent for non-permanent.

“We’re in the midst of a housing crisis in Canada, and the unfortunate truth is we lack the necessary infrastructure to accommodate immigration at the 2022-24 rate,” said Steven Globerman, senior fellow at the Fraser Institute and study co-author.

“While the changes announced late last year have been confirmed by the new government, the levels of immigration over 2025-27 will still be well above historic benchmarks.”

Recently Statistics Canada announced that Canada’s population increased by only 20,107 (or 0% statistically) between January and April this year.

Canada’s population now stands at 40 million, and there has been a public outcry about the declining standards of living, skyrocketing retail prices, unaffordable housing and longer wait times at hospitals and family clinics.

Reluctance to address these issues was one of the factors that contributed to the exit of the Justin Trudeau-led Liberal government in the recent months.

The new government led by Prime Minister Mark Carney, a former central bank governor and an astute economist, has taken several measures to reverse the trend:

The federal government now intends to reduce the number of temporary residents in Canada to 5% of the population by the end of 2026.

Study permit applications have been capped. Only 437,000 such permits will be issued this year, a 10% drop from 2024.

Eligibility for spousal open work permits is now restricted. Open work permits (OWP) are now issued for a limited band of international students and foreign workers.

Only spouses of international students who are enrolled in master’s programs of 16 months or longer in duration, doctoral programs, and certain select professional programs, such as engineering and nursing are eligible to apply for OWP.

Canada is implementing policies to reduce its population of temporary residents and making the pathways to permanent residency constricted in ways that align with public opinion.

Sustainable immigration intake will be the way forward.