Montreal: a city of the future despite headwinds in immigration

In 2025, as Canada and Quebec tighten their immigration policies, Montreal continues to shine. With its strong economic momentum, cultural diversity, and academic excellence, the Quebec metropolis remains one of the most attractive cities in North America. How does it maintain this resilience amid growing immigration restrictions?

An economic engine that keeps running

Despite global economic uncertainty, Montreal confirms its status as a top destination for foreign investors. In 2024, Montreal International recorded $2.72 billion in foreign direct investment, spread across 59 major projects, creating over 4,790 jobs. Notably, the average annual salary for these positions was $105,439, a strong indicator of job quality.

These investments were primarily directed toward future-oriented sectors such as clean technologies, decarbonization, and renewable energy, with a notable presence of French investors drawn to the city’s green and innovative ecosystem.

At the same time, local businesses—facing persistent labor shortages—are relying on technological innovation, automation, and more targeted international recruitment to remain competitive on the global stage.

A leading academic hub under pressure

Montreal maintains its enviable status as Canada’s top university city, attracting thousands of international students each year. In 2024, approximately 74,000 study permits were issued in Quebec, with the majority going to Montreal institutions such as McGill, Université de Montréal, Concordia, and UQAM.

These students, hailing from over 150 countries, play a key role in the city’s intellectual vitality, research, and innovation. They represent about 12% of Quebec’s non-permanent residents, contributing to the city’s diversity and economic dynamism.

However, this attractiveness is now challenged by stricter federal criteria for study permits, introduced in 2024. While these measures aim to better manage the rapid growth in international student numbers, they have raised concerns in academic circles—particularly regarding their impact on institutional funding and Montreal’s global competitiveness.

Despite these constraints, Montreal’s universities are doubling down on efforts to maintain their global standing, focusing on high-quality education, collaborative research, and strategic international partnerships.

Permanent immigration slows, temporary presence surges

In 2024, Quebec welcomed 59,500 permanent immigrants, a decline from previous years due to stricter provincial quotas. This reduction reflects a political will to better manage permanent immigration flows, particularly in terms of linguistic integration capacity and public service availability.

Meanwhile, the number of non-permanent residents reached a record 616,600 as of January 1, 2025—an increase of over 100,000 in one year. This rapid growth is driven by the arrival of temporary workers, international students, and asylum seekers, who help fill critical labor shortages in several key sectors.

However, this growing reliance on temporary immigration raises significant challenges: status insecurity, limited access to public services, and uncertain long-term integration. As Quebec’s main hub, Montreal must navigate these complex realities.

To address these issues, the city and its partners are focusing on several key strategies:
– Targeted international recruitment, especially in health care, technology, and construction;
– Accelerated French language training, to support linguistic and professional integration;
– Comprehensive integration support, including orientation services, credential recognition, and employment assistance.

Manufacturing under pressure: between shortages and retention

Montreal’s manufacturing sector—a cornerstone of its economy—is facing a particularly acute labor shortage. In 2024, over 21,000 positions remained unfilled in Quebec, especially among SMEs, which struggle to compete with larger firms for talent.

Nearly 60% of manufacturers had to turn down contracts or reduce production due to staffing shortages. Retaining temporary foreign workers has become a critical issue, as the path to permanent residency is often long, complex, and uncertain. This instability is prompting some workers to leave Quebec for provinces offering more stable prospects. To counter this trend, it is essential to simplify the path to permanent residency, provide personalized support, and strengthen long-term incentives, both professionally and socially.

In this context, companies are turning to automation, continuous training, and better recognition of foreign credentials to ensure their sustainability.

An attractiveness that transcends borders

Despite headwinds, Montreal continues to shine on the international stage. Its unique ability to combine technological innovation, cultural diversity, and quality of life makes it more than just a metropolis—it’s a 21st-century urban laboratory.

As immigration policies tighten, the city will need to remain agile to preserve its momentum. This will require more inclusive integration of temporary talent, greater promotion of inclusive francophonie, and forward-thinking urban governance.

But one thing remains certain: Montreal fascinates, inspires, and attracts. And as long as it continues to invest in people, creativity, and openness, it will remain a city of the future—beyond borders and beyond circumstances.