On October 24, 2024, the Honourable Marc Miller, Minister of Immigration, Refugees and Citizenship, unveiled the 2025–2027 Immigration Levels Plan.

The plan is a strategic initiative aimed at pausing short-term population growth to foster sustainable long-term development. This plan marks a significant shift in Canada's immigration policy by introducing controlled targets not only for permanent residents but also for temporary residents, such as international students and foreign workers.

The rationale behind the Immigration Levels Plan is rooted in the essential role that immigration plays in driving Canada's economic success and recovery, particularly in the aftermath of the pandemic. As businesses faced labor shortages, the government implemented measures to attract skilled individuals from around the world, which facilitated a quicker economic rebound and helped avert a recession.

However, the new plan seeks to address the evolving demands of the nation by alleviating pressures on housing, infrastructure, and social services, thereby ensuring that immigration contributes positively to both economic and social prosperity in a well-managed manner. The 2025–2027 plan anticipates a slight population decline of 0.2% in both 2025 and 2026, followed by a projected growth of 0.8% in 2027.

This forecast reflects the decision to reduce immigration targets across various streams, which will result in a decrease in the number of permanent residents from 500,000 to 395,000 in 2025, then to 380,000 in 2026, and finally setting a target of 365,000 in 2027. Additionally, the plan aims to limit temporary resident volumes to 5% of Canada's population by the end of 2026, indicating a substantial transition of temporary residents to permanent status or their departure from Canada. A critical aspect of the plan is the transition of temporary residents—particularly those already in Canada as students and workers—into permanent residency.

This group is expected to constitute over 40% of total permanent resident admissions in 2025, as they are already integrated into Canadian society and contribute to the workforce without straining social services. The plan also emphasizes the importance of focusing on long-term economic growth, particularly in key labor market sectors like healthcare and trades, with economic class permanent resident admissions projected to reach 61.7% of total admissions by 2027. Moreover, the plan seeks to bolster Francophone communities outside Quebec, with targets for Francophone immigration increasing incrementally from 8.5% in 2025 to 10% in 2027. This approach aims to ensure that newcomers have access to well-paying jobs, affordable housing, and necessary social services, thereby enhancing their ability to thrive in Canada.

Minister Miller highlighted the government's commitment to adapting immigration policies in response to the evolving needs of the country, emphasizing the balance between welcoming newcomers and managing the pressures on existing systems. The plan is expected to support robust GDP growth while addressing housing affordability and reducing unemployment rates. In summary, the 2025–2027 Immigration Levels Plan represents a comprehensive and adaptive strategy aimed at managing immigration in a manner that supports Canada’s long-term economic and social goals while responding to the immediate challenges posed by rapid population growth. This balanced approach reflects a commitment to maintaining the integrity of the immigration system while ensuring that it effectively meets the needs of both the Canadian economy and society.

Source: IRCC newsroom