On October 24, 2024, the Honourable Marc Miller, Minister of Immigration, Refugees and Citizenship, announced Canada’s 2025–2027 Immigration Levels Plan, introducing a shift in immigration policy aimed at ensuring well-managed and sustainable population growth. For the first time, this plan includes targets not only for permanent residents but also for temporary residents, such as international students and foreign workers.
Why the Change?
Canada’s economy has heavily relied on immigration to support growth, particularly as the country recovered from the pandemic. However, rising housing costs, strains on infrastructure, and demand for social services have prompted a reassessment of immigration levels. This plan aims to pause population growth in the short term to stabilize these pressures, with the goal of returning to a manageable rate of long-term growth.
Key Immigration Target Reductions
As part of this plan, the Government of Canada has announced significant reductions in its permanent resident targets:
- 2025: 395,000 (down from 500,000)
- 2026: 380,000 (down from 500,000)
- 2027: 365,000
This is a notable departure from previous years when targets were set at 500,000. Temporary resident numbers will also decline over the next two years as stricter measures are put in place to limit the influx of international students and temporary foreign workers.
Impact on Temporary Residents
The government is aiming to reduce the temporary resident population by implementing caps on certain streams:
- A 5% reduction in the temporary resident population is targeted by the end of 2026.
- Policies have been updated to restrict eligibility for programs like temporary foreign workers and post-graduation work permits.
In 2025 and 2026, Canada expects a decline in the temporary resident population by 445,901 and 445,662, respectively. However, by 2027, the population will see a modest increase of 17,439 as policies stabilize.
Supporting Canada’s Long-Term Growth
Despite these short-term reductions, the 2025–2027 Immigration Plan is designed to ensure Canada continues to benefit from immigration. By focusing on transitioning temporary residents already in Canada to permanent residency, the country hopes to support its workforce and economy without overwhelming its social systems.
The economic class will represent 61.7% of all permanent residents by 2027, focusing on sectors like healthcare and trades.
Strengthening Francophone Communities
The government is also prioritizing Francophone immigration, aiming for:
- 8.5% Francophone immigration in 2025
- 9.5% in 2026
- 10% in 2027
Conclusion
Canada’s new Immigration Levels Plan balances the need for continued immigration to support the economy with the necessity of addressing infrastructure and social service challenges. By reducing both permanent and temporary resident targets in the short term, the plan aims to foster more sustainable growth in the long run.
For businesses and individuals navigating Canada’s immigration system, these changes underscore the importance of staying informed and adjusting strategies to align with the new policies.
VISASERVE can assist in understanding how these changes may impact your immigration plans. Contact us for expert guidance on Canada’s evolving immigration landscape.