As Canada's population growth slows, an economic shift emerges
Canada’s rental market faces 16 months of falling rents and a 3.5% drop in housing starts as immigration cuts reduce demand, especially in Ontario and British Columbia.
- On March 8, 2026, Canada is expected to record a second straight year of zero population growth after the federal government cut immigration targets 16 months ago, slowing demand,
- Economists caution that it is difficult to isolate population growth effects from broader economic forces, while consumer resilience and other offsets can mute the impact of slower population growth.
- Housing indicators reveal asking rents fell 2% to $2,057 in January, condo inventory is rising, and CMHC reported a 3.5% decline in starts, indicating a slowdown.
- The outlook shows potential economic output will be limited, with housing market stagnation likely until around 2028, according to experts and TD Bank economist.
- Broader risks include geopolitical uncertainties in CUSMA/trade dynamics, offsets like Bank of Canada's interest rate cuts, and the detached housing market remaining less affected.
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As Canada's population growth slows, an economic shift emerges
Breaking News, Sports, Manitoba, Canada
As Canada’s population growth slows, an economic shift emerges
The effects of slowing population growth have started to show up in some sectors of the economy, more than a year after the federal government reduced its immigration targets.
Canada’s Economic Landscape Faces Challenges Amid Slowing Population Growth
Spread the loveIn recent months, Canada has encountered a notable shift in its demographic and economic dynamics, largely driven by a slowdown in population growth. Following a reduction in federal immigration targets over the past year, the country is witnessing significant repercussions across various sectors, particularly housing and employment. As economic indicators reveal a deceleration in growth, experts are raising concerns about the impl
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