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The Future for Canada Without Immigration Would be Bleak, Experts Say

In May 2018, the Conference Board of Canada released a report examining the impact of immigration on Canada. According to the study, by 2034, the number of deaths in Canada will outpace the number of births, meaning that immigration will account for all population growth in the country. Without immigration, Canada’s economic growth in the face of this population fact would drop from an average of 1.9% to 1.3%.

According to the report, no immigration would also impact the age of the population as Canada ages. Without immigration, 26.9% of Canada would be at least 65 years by 2040. The age of the population is important since it impacts economic growth. As the population ages, there is more stress on the social services and health care while worker and company productivity declines. In addition, investment in the economy decreases as a population ages.

Between 2013 and 2018, the Canadian economy has grown about 2.2% each year. However, the aging population and the low birth rate could harm that growth in the future, meaning more immigration is needed.  If Canada were to increase immigration, by 2040, 22.4% of Canada would be 65 years or age or older and the ratio of workers to retired persons would be 2.0.

How Canada Can Grow With Immigration

According to the Conference Board of Canada, the economic class of immigrants contributes most quickly and directly to the economy. However, the study suggests focusing on the family class of newcomers. This group of newcomers may be more likely to remain in Canada, form strong bonds to the country, buy homes, and make long-term contributions.  

While the report was largely positive about immigration’s impact on Canada, the study did find one area where improvement is needed. According to the Conference Board of Canada findings, more needs to be done to address the income disparity for new immigrants to Canada, both for humanitarian and economic reasons. Maintaining good borders and rising low incomes and low wages among the family class of immigrants can help Canada succeed, according to the report.

Are You Interested in Being Part of Canada’s Future?

While the Conference Board of Canada report will not have a direct and immediate impact on immigration policy, the focus on family immigration and attracting newcomers is likely to continue into the future. If you would like to immigrate to Canada, read Immigration Direct’s free blog and take a look at the many resources we have to help you apply for permanent residency.

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