Federal immigration policy changes, including the 2026-2028 Immigration Levels Plan, have sharply reduced targets for new temporary residents such as international students and workers while stabilizing permanent resident admissions near 380,000 annually. These measures aim to lower the non-permanent resident share of the population to 5 percent by year-end. Statistics Canada data confirm a 0.2 percent year-over-year decline as of January 1, 2026—the first such annual drop on record—driven by net outflows of temporary residents offsetting natural increase and permanent inflows. Parliamentary Budget Officer projections indicate flat overall population growth for 2026, consistent with trader consensus favoring a decline this year amid ongoing policy normalization.