Canada’s Population Experiences First Decline in 2025 Amid Immigration Policy Shifts

Canada’s population registered a rare decline in the third quarter of 2025, according to preliminary data released by Statistics Canada. The drop—amounting to 76,068 people or 0.2%—marks the first decrease observed in the country’s quarterly population estimates for the year.

Maple News reports that this contraction was driven primarily by a significant reduction in the number of non-permanent residents (NPRs). Between July 1 and October 1, 2025, the population of non-permanent residents fell by approximately 176,479, contributing overwhelmingly to the national decline. Statistics Canada attributes this shift to recent changes in federal immigration policy, which have tightened rules around temporary migration streams such as international students, temporary foreign workers, and asylum claimants.

The impact of the population decline varied across provinces and territories. Ontario saw the steepest drop at 0.4%, followed by British Columbia at 0.3%, and both Manitoba and the Northwest Territories at 0.2%. Alberta and Nunavut were the only regions to experience growth during the same period, each recording a modest increase of 0.2%.

This downturn marks a stark contrast to recent years. For example, in Q3 2023, Canada posted its highest quarterly growth since 1957, with the population surging by 1%. Similarly, Q3 2024 saw an increase of 0.6%. The current shift represents a significant departure from these historic trends.

The decline raises important questions about the future of Canada’s demographic and economic planning. Non-permanent residents play a critical role in the country’s labor force, higher education sector, and overall vitality. A sharp dip in this group may have ripple effects on housing, workforce availability, and long-term immigration goals.

While the federal government has justified recent immigration adjustments as necessary to ensure operational sustainability and community readiness, analysts suggest that reducing temporary resident intakes too abruptly could undermine key sectors reliant on foreign talent and labor.

This latest data signals an inflection point in Canada’s approach to population growth, long supported by robust immigration flows. As policy evolves, continued monitoring will be key to balancing economic needs with administrative capacity and social infrastructure.

Maple News will continue to provide updates as Canada adjusts its immigration strategies in light of new demographic realities.

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