Canada’s population growth has dropped to its lowest point in five years, according to new data from Statistics Canada. Between April and July 2025, the country added just 47,098 people, marking a growth rate of 0.1%.
This is the weakest second-quarter increase since 2020, when the COVID-19 pandemic nearly halted population growth.
Immigration restrictions driving slowdown
The federal government’s stricter immigration policy changes introduced in 2024 are now showing their full impact. Measures included:
- A cap on international student study permits. This has drastically reduced number of international students coming to Canada.
- Tighter rules for work permit eligibility. This includes LMIA work permits, Post Graduation Work Permit (PGWP) and Spousal Open Work Permit (SOWP)
- A 20% cut in permanent resident (PR) targets.
- Canada’s first-ever limits on temporary resident admissions
Canada has designed these policies to reduce pressure on housing, jobs, and social services. However, they have significantly slowed immigration levels.
Decline in non-permanent residents
Statistics Canada reports that most of the recent growth came from new permanent residents, these are the people who mostly became temporary resident to permanent resident or directly came to Canada as PR. In contrast, the number of non-permanent residents (NPRs) has been dropping for three straight quarters.
By July 2025, non-permanent residents (NPRs) made up just 7.3% of Canada’s population, down from 7.6% in late 2024. This decline was most visible among:
- Study permit holders (-32,025)
- Work permit holders (-19,637)
- Individuals holding both study and work permits (-19,072)
Fewer international students and workers arriving in Canada
The recent Immigration polices have severely impacted international students and work permit numbers. The recent IRCC data shows:
- New student arrivals fell by 55% in July 2025 compared to July 2024
- New worker arrivals dropped 37% during the same period
Between January and July 2025, Canada welcomed 98,070 fewer students and 137,000 fewer workers than in the first half of 2024.
Canada’s immigration levels plan for 2025–2027
The IRCC Immigration Levels Plan 2025–2027 is the first to include targets for temporary residents. Ottawa has set the following caps:
- 673,650 temporary residents in 2025
- 516,600 in 2026
- 543,600 in 2027
The government’s goal is to reduce the share of temporary residents to just 5% of Canada’s population by the end of 2026.
What this means for INTERNATIONAL STUDENTS
For prospective international students and current international students in Canada have very good opportunity to study programs which are in demand such as healthcare and trade programs. These programs offers valuable education and skills which are in demand thus more job opportunities.
Healthcare workers and trade workers easily make $100,000 per year in Canada. Some of the most in demand healthcare programs are nursing, pharmacy, dentistry and lab tech programs. Avoid management and leadership programs in healthcare as they are not in demand plus not core healthcare programs.
Some of the most in demand trade programs are welding, plumbing, carpentry, HVAC, Automobile technician and more. Always select co-op programs over non co-op.
