Canada’s Population Sees Decline Amid Immigration Drop

Canada experienced a decrease in its population by approximately 55,000 individuals during the first quarter of this year, as per the latest data from Statistics Canada. The estimated population as of April 1 stood at 41,417,056, marking a 0.1% decline attributed to reduced immigration and a lower number of births compared to deaths, according to the agency. This decline follows a previous report by Statistics Canada indicating an overall population decrease last year.

The initial figures for early 2026 indicate a 20% drop in permanent immigrants in Canada compared to the same period in 2025, with the number falling from 104,210 to 83,149. Additionally, the count of non-permanent residents decreased by over 117,000, although Statistics Canada cautioned that these estimates might be subject to future revisions due to evolving international migration policies.

The “natural increase” in population, where births exceed deaths, actually saw a decrease as 155 more deaths than births were recorded across the country in the first quarter. These population shifts are believed to have contributed to recent data showing a struggling economy in Canada by certain metrics.

National Bank of Canada’s chief economist, Stéfane Marion, highlighted that the population decline has played a role in the economic downturn, with implications for indicators like the gross domestic product (GDP). Marion emphasized that with a diminishing immigrant influx, the overall economic size, referred to as the “economic pie” by economist Mikal Skuterud, would contract. However, a smaller population could potentially lead to a larger per-person share of the economic pie.

Skuterud, a University of Waterloo economics professor, noted that with the decrease in population, the GDP per capita has seen an increase. Furthermore, Marion and Skuterud suggested that merely increasing immigrant numbers may not be sufficient for future economic growth, emphasizing the need for broader contributions to drive overall economic expansion.

In specific provinces, Ontario and British Columbia experienced a more significant drop in temporary residents compared to permanent immigrants, contrasting with Alberta’s continued population growth. Marion highlighted Alberta as the sole large province showing population expansion, with more individuals being born than dying in the region.

The decline in temporary workers and students was emphasized in British Columbia and Ontario, where fewer permanent immigrants relocated compared to the number of departing temporary foreign workers and students. This trend has contributed to the overall population shifts observed in these provinces.

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