Canada sets 380,000 annual immigration target, renews monetary policy framework

Photo: Gonzalo Facello / Pexels Canada has announced its immigration plan for 2026-2028, maintaining an annual target of 380,000 permanent residents, while also renewing its monetary policy framework. The renewed policy emphasizes the Bank of Canada’s focus on price stability, in line with a 2% inflation target within a 1%-3% control range. Additionally, Canada has forecasted higher oil prices, with West Texas Intermediate (WTI) crude expected to average $87 per barrel in 2026 and $89 in 2027. These developments suggest continuity in Canada’s economic and monetary strategies. The recent announcement appears to have impacted prediction markets, particularly those speculating on the Bank of Canada’s upcoming rate decisions. Market participants are weighing the implications of the renewed focus on price stability and the anticipated increase in oil prices. Currently, there is notable activity in markets predicting a 25 basis point increase in the Bank of Canada’s overnight rate at the December interest rate announcement, with a 37.5% probability priced in. Conversely, the likelihood of no change remains higher, at 63.5%, indicating a preference for stability amid higher inflationary p...