While the number of people who have moved to Australia in recent years has been steadily decreasing, a reverse trend has been observed in Canada. Given the statistical information on the working population in Australia and Canada, the Immigration Department undoubtedly plays a crucial role in the economic health of both countries.
To get a clear idea of how immigration contributes not only to the country’s population but also to labour and economic development, let’s examine the impact of international students on the monetary security of the two countries.
International students contribute $ 22 billion annually to the Canadian government, supporting 170,000 jobs. Internationally, international students channel $ 39 billion into the Australian economy each year and support 240,000 jobs.
Considering that the Canadian population is made up of 22% immigrants while Australia has 30% immigrants; It is fair to conclude that the economies of both countries have so far benefited from immigrants. That said, the past few years have seen that the two countries have different migration plans, a curve that in the past has set in for the coronavirus pandemic.
For more than three decades now, Canada has gradually increased its immigration target to support the constantly growing economy. Australia also began to accept more immigrants from the late 1990s, but the country has reduced its target in recent years.
Before 2016, Canada targeted 260,000 immigrants annually, and the challenge was raised to 300,000 and then to 340,000. The Canadian government plans to receive 58% of immigrants in the economy class, 27% in the family and 15% in refugees and other humanitarian groups.
While Canada spends more on managing its immigration, Australia reduces its number from 190,000 to 160,000 migrants per year until 2023.
The economies of Canada and Australia are struggling with an ageing population and low birth rates. The Australian media is 38 years old, while Canada is 41 years old. The birth rate in Canada and Australia is 1.5 and 1.7 respectively. Birth rates in these two countries are far below the level required to replace the population.
In 2018/2019, migrants with temporary and permanent abilities represented 82% of the Canadian population. Over the same period, 62.5% of the Australian population growth came from permanent and temporary foreign residents.
In both countries, migrants provide the labour needed to stimulate economic growth. Without immigrants, both countries would have to find ways to make the small workforce more productive. From an economic point of view, migrants play a pivotal economic role in both countries. For example, the income they generate from the two governments helps support an ageing population.