The agency said the increase of 2.7% also means Canada has the highest growth among G7 countries — France, Germany, Italy, Japan, Britain and the United States — and that its population would double by 2048 were it to continue at that rate.

Immigration accounted for 95.5% of the increase with a record 437,180 immigrants settling in Canada together with a sharp rise in temporary migrants. The number of non-permanent residents jumped from 607,782, overtaking permanent migration for the first time. Both numbers are the highest levels on record

“The increase in international migration is related to efforts by the government to ease labor shortages in key sectors of the economy. High job vacancies and labor shortages are occurring in a context where population aging has accelerated and the unemployment rate remains near a record low,” Statistics Canada said.

However, it warned that the record rise in permanent and temporary immigrants could present additional challenges for some regions in coping with the additional demand on housing, infrastructure and transport, and delivery of services to the population.

All provinces and territories saw a year-over-year increase in the net estimated number of non-permanent residents in 2022, with work and study permits, in addition to the number of asylum claimants, up across the country.

The increase was due to a combination of international migration to help fulfill employment needs across the country and a program to allow Ukrainians fleeing the Russian invasion in late February 2022 to come to Canada.

Canada Border Services Agency data shows 191,000 Ukrainians and permanent residents of Ukrainian origin entered Canada by air or land between Jan. 1, 2022 and March 19, 2023.