Canada's federal Immigration Levels Plan for 2026-2028 has cut temporary resident targets sharply while stabilizing permanent resident admissions at 380,000 annually, producing net outflows of non-permanent residents that more than offset natural increase and new permanent inflows. Preliminary Statistics Canada data already recorded a 0.2 percent population drop in the first quarter of 2026, marking the first year-over-year decline since World War II. The Parliamentary Budget Officer projects flat overall growth for the full year as these outflows continue. Traders therefore assign a modest edge to a net decline, reflecting the sustained impact of recent policy tightening aimed at easing housing and service pressures.