MNI BRIEF: Population Stalls As Canada Pulls Migrant Permits

Statistics Canada said Wednesday Q2 population growth was little changed, matching the slowest pace in records back to 1946 amid curbs on non-permanent residents. The central bank says slow population growth will likely weigh on consumer spending as officials consider the need for another rate cut.

The population of 41.65 million people on July 1 was an increase of 0.1%. Excluding the pandemic it was the lowest Q2 growth since comparable records began. Non-permanent residents fell for the third consecutive quarter after the government said it would reduce the number of permit holders.

The slowdown could also ease slack in the job market at a time when hiring has slowed, which was a big reason the Bank of Canada cut rates last week. Another potential impact is reduced pressure on elevated housing costs. (See: MNI INTERVIEW: Canada Condo Dip Seen On Migrant Turn-Adviser)