Canada has released its 2026–2028 Immigration Levels Plan, signalling significant changes that will affect anyone considering immigration, work, or study in the country. The government is entering a “stabilization phase” that prioritizes long-term, sustainable growth by reducing temporary resident admissions while maintaining strong targets for economic permanent residents.
While Canada remains committed to welcoming skilled workers, the approach going forward emphasizes smaller temporary intakes, more selectivity, and clearer pathways to permanent residence (PR). Understanding these shifts is essential for foreign nationals planning to make Canada their new home.
1. Key Highlights of the New Plan
Sharp Reduction in Temporary Residents
Beginning in 2026, Canada will significantly reduce the number of temporary residents entering the country, including:
- International students
- Temporary foreign workers
- Other short-term permit holders
The goal is to bring the population of temporary residents to below 5% of Canada’s total population by the end of 2027. This marks a major shift from the higher-growth approach of past years.
Permanent Residence Targets Remain Stable
Despite the reductions in temporary categories, Canada will maintain approximately 380,000 permanent resident admissions per year between 2026 and 2028.
A substantial majority of these will come through economic immigration streams, including:
Express Entry (FSW, CEC)
Provincial Nominee Programs (PNPs)
Sector- and region-specific skilled worker pathways
This stability signals that the government continues to prioritize skilled, long-term immigrants who can integrate quickly into the labour market.
Focus on Those Already in Canada
IRCC will continue to emphasize transitions from temporary to permanent status, but with fewer new temporary residents entering, the competition for temporary spots is expected to increase.
2. What This Means for Foreign Nationals Considering Immigration to Canada
The target for new temporary resident arrivals in 2026 is set at 385,000, split into 230,000 workers and 155,000 students.
For individuals abroad who are exploring options to study, work, or immigrate to Canada, the message is twofold:
Opportunities
- Permanent residency remains strong, especially for skilled workers with experience, language proficiency, and education.
- Canada offers structured and transparent immigration systems, including Express Entry and Provincial Nominee Programs.
- Those with in-demand skills may find increased opportunities under targeted draws and labour-market aligned programs.
Challenges
- Reduced temporary resident admissions mean higher competition for study permits, work permits, and other entry categories.
- Pathways that relied heavily on obtaining a temporary permit first (e.g., study-then-Post Graduation Work Permit-then Permanent Residence) may become more restrictive.
- Labour-market matching will matter more: applicants must increasingly show that their skills align with Canadian needs.
Foreign nationals planning a move should consider applying directly for permanent residence where eligible, rather than relying solely on temporary status as a stepping stone.
3. Special Considerations for Visa-Exempt Nationals and U.S. Citizens
Nationals of visa-exempt countries, including those from Europe, Latin America, and the United States, enjoy certain logistical advantages that may help them navigate this new landscape. However, strategic planning remains essential.
Advantages for Visa-Exempt Foreign Nationals
- Ability to travel to Canada without a visa reduces administrative barriers.
- Many professional occupations are eligible for simplified work permits under international agreements (e.g., CETA, CPTPP, bilateral accords).
- Credential recognition is often faster due to closer regulatory alignment with Canada.
These advantages can make it easier to explore job opportunities, attend interviews, or initiate cross-border employment transfers.
Specific Impact on U.S. Citizens and Residents
- U.S. citizens continue to benefit from CUSMA (formerly NAFTA), which allows streamlined issuance of work permits for many professional occupations.
- Professionals with U.S. work experience, including those in STEM, finance, health, and engineering, remain strong candidates for permanent residence.
- For U.S. H-1B visa holders facing long green-card backlogs, Canada’s stable PR targets still offer a realistic and attractive alternative — though temporary permit availability will tighten starting in 2026.
U.S. residents hoping to enter Canada through study or temporary work should consider applying earlier rather than later, as the new caps will introduce more competition.
4. Preparing for the Path Ahead
Foreign nationals, especially those in visa-exempt countries and the United States, should take proactive steps now:
- Assess eligibility for permanent residence through Express Entry or a Provincial Nominee Program.
- Strengthen CRS scores by improving language test results or obtaining educational credential assessments.
- If considering temporary residence (study or work), try to apply before 2026 when the reductions take full effect.
- For professionals, explore international mobility agreements that allow entry without a Labour Market Impact Assessment (LMIA).
- Stay informed about evolving policies, as Canada continues adjusting its temporary resident framework.
Final Thoughts
Canada’s new immigration plan does not close the door; it reshapes the entrance.
Permanent residence remains accessible, especially for skilled workers ready to contribute long-term.
Visa-exempt nationals and U.S. citizens may still experience smoother pathways, but the era of large temporary resident inflows is ending.
Strategic timing and targeted preparation will be key for anyone considering making Canada their new home in the years ahead.
At our office, we believe that personalized care, expertise, and trust make all the difference. If you’re considering immigrate to Canada, we’re here to help you every step of the way. Contact us today at lawoffice@fridman.ca or at 204-944-8889 to explore your options.