COVID spurs citizenship offers to more temporary residents

In January, Canada welcomed 26,600 new permanent residents, most of whom were already in the country.

TORONTO — Canada’s recent move to offer permanent residency to more foreigners living and working in the country is a short-term solution to the economic problems spurred by a pandemic-related immigration slowdown, analysts say, while critics argue the strategy excludes too many vulnerable people.

With travel restrictions in place, visa offices closed and immigration applications stalled, the Canadian government finds itself on the back foot as it attempts to reach its target of attracting a record 401,000 new permanent residents in 2021.

The country, which admitted 184,370 people in that category last year — the lowest number since 1998 — is turning its attention to the more than 1 million temporary residents within its borders to boost the numbers, inviting some to apply for permanent residency.

Economists, however, say the move will not have a noticeable impact on Canada’s economic growth and is not a fix to the country’s long-term demographic challenges, including an aging population.

“In the short-term, it’s nice that they’re targeting these sorts of people. It’s really just a change of status,” said Andrew Agopsowicz, a senior economist at the Royal Bank of Canada.

Without any immigration, Canada’s average annual rate of economic growth by 2034 would shrink by 0.6 percentage points, the Conference Board of Canada said in 2018.

Canadian Immigration Minister Marco Mendicino told Reuters in an interview last week that the limitations posed by the pandemic mean “we need to look at the talent pool that is already within our borders.”

In January, Canada welcomed 26,600 new permanent residents, most of whom were already in the country. That was 10 per cent more than in the same period a year ago. Last month, the Canadian government invited 27,000 temporary workers who met certain conditions to apply for permanent residency.

Mendicino said January’s numbers indicate the country can meet its 2021 target, but others disagree.

“We might still end up seeing a slowdown heading into the spring and summer ... There is a large temporary pool and it’s something Canada can draw from, but it’s not a bottomless well,” Agopsowicz said.

Canada has relied for decades on temporary workers to help meet the needs of its labour market.