TORONTO, July 28, 2026 – The impact of Canada’s reduced immigration targets is gradually appearing in population data. The latest quarterly figures from Statistics Canada show that Canada welcomed 83,149 new permanent residents in the first quarter of 2026, down 20.2 per cent from 104,210 during the same period last year. Ontario saw an even sharper decline, with 34,851 new permanent residents in the same period, a year-over-year drop of 26.3 per cent.
At the same time, Canada’s temporary resident population also fell significantly. As of April 1, the number of non-permanent residents across the country was about 2.559 million, down 117,879 from the previous quarter, a decline of 4.4 per cent. Ontario’s non-permanent resident population fell to about 1.148 million, also down 4.4 per cent from the previous quarter.
The decline in immigration has also changed Canada’s recent pattern of rapid population growth. Statistics Canada estimates that, as of April 1, Canada’s total population was about 41.417 million, down 55,025 from January 1, representing a quarterly decrease of 0.1 per cent. During the same period, births minus deaths also showed a negative natural increase of 155 people. Statistics Canada notes that the figures are still preliminary estimates and will be updated in September with more complete information.
This change did not happen suddenly. Over the past two years, the Canadian government has continued adjusting immigration levels in an effort to ease pressure on housing, health care and other public services. Under the 2026–2028 Immigration Levels Plan, Canada’s permanent resident admissions target for this year is 380,000, a level that is expected to remain the same in 2027 and 2028.
The control of temporary residents is even more noticeable. In 2026, the combined target for new international student and foreign worker arrivals is 385,000, including 230,000 foreign workers and 155,000 international students. The government has also said it aims to reduce the share of non-permanent residents to below 5 per cent of Canada’s population by the end of 2027.
However, a decline in new immigrants should not be simply understood as Canada no longer needing immigration.
The new immigration plan still places economic immigration in a central position, while giving more attention to people who are already living and working in Canada. The federal government has clearly stated that it wants to help temporary residents with Canadian work experience and needed skills transition to permanent residence, and plans to accelerate permanent resident pathways for up to 33,000 temporary workers between 2026 and 2027.
For people currently holding work permits, post-graduation work permits or other temporary status, this means that fewer new immigrants arriving from overseas does not directly make permanent residence applications from inside Canada easier. Whether an applicant has an opportunity will still depend on immigration category, occupational demand, language scores, work experience, and the specific invitation policies of the federal government and provinces.
Still, the latest population data shows that Canada’s recent phase of rapid population growth driven by large-scale international immigration is clearly cooling. The next issues to watch will be whether lower immigration numbers can actually ease pressure on housing and public services, and what impact they may have on the labour market, universities and business recruitment.（LJI by Yuanyuan）
