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Canada Continue taking Immigrants during Coronovirus Crisis

With the increasing coronavirus (COVID-19) situation Canada has released the 2020-2022 Immigration Levels Plan. However, this news was not neglected because of coronavirus emergency all over the world, including Canada.

With the increase in COVID-19, there has been a significant drawback towards recession to most of the countries like Canada. This is leading to a decrease in oil prices globally and causing adverse consequences on Canada’s economy.

The weak economic movement is going to affect most of the sector, especially tourism and hospitality, at a significant effect.

To avoid the decline in the economy, the Bank of Canada has reduced its interest rates overnight just one week after it had already cut the rate. There would also be a state of the emergency, travel ban, and other events like the crash in the stock market.

 

With COVID-19 2020-2022 Immigration Levels Plan still makes sense

In the Chaos of coronavirus in the world, Canada’s attempt to continue welcoming more than 1 million immigrants in the next 3 years is not the primary concern.

However, with the COVID-19, we can know that more immigrants are required for the country’s economy to move further.

Canada’s economy is looking to set the 2020 numbers. There are debates about increasing immigrant’s intake in the country as it may be difficult for them to get into the labour market.

Nevertheless, the immigration policies prove to be proactive in this decision right from the 1980s as the numbers of immigrants are different from the economic sector.

The immigrants are welcomed to fill the job vacancies as the immigrant's policies are meant to be healthy for Canada’s economy during the declining activity. But it is hoped that the new immigrants would be the main reason for economic growth shortly.

The main reason is by the end of this decade, Canada’s 9 million people born during the second world war will be reaching the retirement age. With the low birth rates, Canada is relying on immigrants for the majority in labour force growth.

For the growth of the economy, labour force growth is one of the 2 ways to increase the labour force productively. Because of this reason, getting immigrants high level is justified during the distress time in the economy.

The immigrants coming in 2020 may face problems in finding a job initially, but with the retirement coming forward, they may find good jobs with good competition and salaries.

 

No “Tap on, tap off” of the late 1980s

During the late 1980s, there was an approach to welcoming immigrants called the “Tap on, tap off”. Here when the economy is strong, the number of immigrants is increased, and during the recession, it is decreased.

But this approach has not been followed as there is an increase in the aging population and low birth rate to increase the economy's high level of immigrants are maintained since the 1980s. During the 2008-2009 recessions, Canada maintained a high level of immigrants.

 With the high level of immigrants been welcome initiates the short-term benefits, as this will increase the demand for goods in Canada when they come and purchase the products that will boost the economy during the coronavirus crisis.

The higher immigration levels amidst of coronavirus crisis will only help in economic growth as the newcomers will contribute to the economy of Canada as workers, taxpayers, and consumers.