Canadian population growth rate almost zero on immigration borders

For the second consecutive quarter, the country’s population was little changed, compared to a quarterly growth rate of almost 1% last year, according to statistics Canada data published on Wednesday.

Stricter immigration rules to reduce the number of temporary immigrants have released almost more people than new arrivals and natural births, with an increase of 47,098 people or 0.1% in the second quarter, data showed. It is a gain similar to the first three months of this year – and, with the exception of 2020, the lowest growth rate in the second quarter since the start of comparable records in 1946.

The government’s plan to reduce the temporary migrant population seems to work. The number of non -permanent residents has dropped for the third consecutive time, reaching 7.3% of the total population during the quarter, compared to 7.6% at its peak. The decrease was motivated by foreign students and workers leaving the country.

With a half year of population growth essentially, the government of Prime Minister Mark Carney must decide to keep its lid tight on the entries or to bring more workers. The country’s new immigration objectives are due on November 1.

This will be the first objective set under Carney, which has promised to bring immigration rates to “sustainable levels”. At the same time, his government wants to build houses and infrastructure to stimulate activity in an economy with prices. This plan will require more qualified workers in trades and construction – sectors that are always faced with shortages of labor.

US immigration policies can also influence movements across the North border, some refugees and H-1B visa holders are potentially going to Canada.

In order to increase the number of contributions, Carney – which inherited the eroded public support for mass immigration – will have to restore public confidence in the system and rebuild a consensus on the reception of new arrivals.

Like many of its peers in the advanced economy, Canada needs immigration to increase its population and its tax base in order to replace workers and support its aging population. International migration has represented more than 70% of population growth in Canada between April and June. In the second quarter, the number of births exceeded the deaths of 13,404, immigration adding 33,694 people.

Lukewarm population growth has already darkened economic prospects. The Governor of the Bank of Canada, Tiff Macklem, said last week, when he resumed the reduction in interest rates, that a low demographic growth as well as a low labor market would weigh on household expenditure – a rare positive point in the economy that has been contracted strongly in the last quarter.

British Columbia was the only province or territory to see a population decreasing during the quarter, while Prince Edward Island was the fastest province.

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