The Government of Canada has announced a new immigration plan for 2025-2027 that aims to balance population growth with economic and social stability. Immigration Minister Mark Miller stressed that while immigration is essential for economic empowerment, pressures on housing, infrastructure and social services need to be addressed. Below are the detailed changes and their impact.
“Today’s announcement is the next step in our plan to address our nation’s evolving immigration needs. It’s clear that our economy needs new entrants, but we are committed to the challenges our country faces. We recognize the pressures that exist and must adapt our policies accordingly,” Miller said.
“These changes will ensure that immigration works for our country and that everyone has access to quality jobs, housing and the supports they need to thrive. “We will continue to protect the integrity of our system and grow our population responsibly,” he added.
Significant decline in the number of permanent residents
The government plans to gradually reduce the number of permanent residents over the next three years.
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The permanent resident target will be cut from 500,000 to 395,000 in 2025, in a move to ease the rapid population surge following the pandemic. In 2026, the target number of permanent residents is expected to be further reduced to 380,000. This reduction is aimed at stabilizing population growth and reducing pressure on urban areas and public resources. By 2027, the number of permanent residents will be set at 365,000, marking a shift towards more sustainable population management.
Changes to temporary resident policy
Temporary residents, made up of international students and temporary workers, will undergo significant changes under the new plan.
The government aims to reduce the total number of temporary residents to just 5% of Canada’s population by the end of 2026, which is a significant change from previous years. In 2025, the number of temporary residents has decreased by 445,901 people and is projected to decrease by a further 445,662 people. Temporary residents are expected to decline in 2026. This reduction is part of a strategy to reduce demand for housing and social services. Reflecting a more restrained growth approach, the number of temporary residents is expected to increase slightly to 17,439 in 2027. These changes will be supported by: Tighten qualification requirements for international students and temporary foreign workers, with the aim of controlling the quality and quantity of new arrivals.
Emphasis on transitioning temporary residents to permanent resident status
A major shift in Canada’s strategy involves transitioning existing temporary residents, especially those who are already well integrated, into permanent residents.
By 2025, more than 40 per cent of new permanent residents will be people already living in Canada as international students or skilled workers. This approach ensures that new permanent residents are already established and contribute to the economy, without imposing additional demands on housing or social services.
The Government aims to streamline the workforce transition process and reduce the burden on immigration services while ensuring Canada can continue to attract and retain talent from around the world.
Aiming for growth by targeting key economic sectors
Economic considerations are central to the new immigration plan. Focus on sectors facing labor shortages, particularly healthcare and trade.
By 2027, 61.7% of total enrollment will be from the economic classes, ensuring that the majority of immigrants will enter industries where they can make an immediate contribution.
This targeted approach is expected to ensure that new entrants play a key role and support long-term economic stability, while allowing Canada to remain competitive in global markets.
Support for French-speaking communities outside Quebec
The new immigration strategy places particular emphasis on strengthening Francophone communities outside Quebec. The target for Francophone immigration is to increase in stages to 8.5% in 2025, 9.5% in 2026 and 10% by 2027.
The government plans to strengthen the Francophone region by attracting immigrants who support the economic and cultural vitality of the Francophone region and reduce dependence on Quebec for Francophone population growth.
Immigration system reform aimed at long-term sustainability
The 2025-2027 plan involves several reforms and focuses on improving the integrity of the immigration system and ensuring it meets Canada’s long-term needs. Changes to the international student program include caps on student numbers and stricter requirements to maintain high educational standards. The new standards for temporary foreign workers are intended to ensure that only qualified and necessary workers are accepted, and to prevent abuse and abuse of the system. Adjustments to post-graduation work permits and spousal work permits will limit access, and these reforms will create a balanced and fair immigration process that will attract the best talent while protecting Canada’s social infrastructure. The purpose is
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