Immigration in BC and Canada

Archived Topic Box from the 2005 Fifth Annual Benchmark Report

Throughout Canadian and BC history immigration has been a key driver of both population and economic growth. In a country where the foreign-born share of the population grew from 3.7% in the 1950s to 18.4% in the 2001 census, few would dispute the positive economic benefits and importance of past immigration efforts to the country's development. Immigration will become increasingly important to Canada, and BC in particular, in years to come.

As a result of this decline in natural population increase Canada has become increasingly dependent on immigration as a source of population growth. In fact, in recent years this dependence has increased to the point where, in 2001, 2002 and 2003 net international migration to Canada accounted for the majority (60%) of population growth. The share of immigration population growth (both international and inter-provincial) in BC is more volatile than for Canada as a whole due to the economy-dependant swings in inter-provincial migration. Immigration has accounted for as little as 21.4% of annual population growth in BC and as much as 77.0% over the period 1972-2003. As the population continues to age, and fertility rates remain low, population growth will become even more closely tied to immigration rates. In fact, immigration is predicted to account for all net labour force growth in Canada by 2011 and all net population growth by 2031.

British Columbia and Canada expect to rely increasingly on immigration to fuel population growth and to fi ll skilled jobs. However, almost all developed nations are facing the same demographic and skill challenges that we are. British Columbia and Canada in general must continue to make efforts to attract immigrants. Further, a better understanding and targeting of immigrants with skills and education required by the Canadian economy is necessary, along with programs to ensure that skills are applied appropriately upon arrival to gain the most economic benefit possible.

Sources: Organization for Economic Cooperation and Development (2003), OECD Economic Survey of Canada; Treasury Board of Canada Secretariat (2004), Canada's Performance 2004: Annual Report to Parliament; Statistics Canada (2004), Annual Demographic Statistics 2003; Human Resources Development Canada (2002), Knowledge Matters: Skills and Learning for Canadians.