Cap on the number of new Temporary Residents may be imminent, according to the August 30 CIBC report.
The new CIBC report mentions an urgent need to cap the number of new permanent residents. The exact number of Temporary Residents in Canada is more by over a million than that considered for planning.
Policies to cap the annual number of Study and Temporary Resident Permits are more crucial than ever because of the recent spike in the number of new Temporary Residents. The under-counting of non-permanent residents is straining the already dwindling housing supply. It is hard to cater to the rising demand for housing as the growth in temporary residents is far greater than the housing supply.
On August 21, Sean Fraser the new housing minister, highlighted the need to limit the number of immigrant students to address Canada’s housing crisis. The policy of limiting the new study permits may be detrimental to Canada’s economy.
Canada has over 800,000 international students, contributing $22.3 billion to the country’s economy annually. International students pay ten times more fees than their Canadian counterparts.
Limiting the number of Study Permits can have a lasting effect on Canada’s economy, though it may solve the temporary housing supply issue. Capping the number of new temporary residents will also impact Canada’s labor market adversely.