Canada’s federal government’s 2026-2028 Immigration Levels Plan sharply reduced temporary resident targets, including 49% fewer new international students and 37% fewer temporary workers, while stabilizing permanent resident admissions near 380,000 annually. This policy shift has produced sustained net outflows of non-permanent residents, driving three consecutive quarterly population declines through April 2026 according to Statistics Canada estimates. Parliamentary Budget Officer projections indicate flat overall growth for the full year, following an already-recorded annual contraction. These official actions, aimed at easing housing and service pressures from prior rapid inflows, underpin trader expectations that total population will finish the year lower than it began.