Canadian Prime Minister Justin Trudeau finds himself embroiled in a diplomatic standoff with India over the Khalistani issue, but his immediate concern should be addressing a deepening housing crisis within Canada.
Canada is grappling with a housing shortage so severe that it’s considering placing limits on international student numbers, a policy reversal for a nation known for its welcoming stance toward immigrants.
The root causes of this crisis can be traced to two main factors: insufficient housing construction and a geographical concentration of Canada’s population.
Even though Canada is the second-largest country in the world by land area, its population density is remarkably low, with just four persons per square kilometer. However, a significant part of Canada’s population resides in a few provinces near the U.S. border.
The primary culprit behind the housing crunch is the inadequate construction of homes, a point highlighted by opposition leaders. Canada has built fewer homes in recent years compared to decades ago, with further declines projected.
Trudeau’s leadership is under intense scrutiny, with even his coalition partner, Jagmeet Singh, blaming the government for the housing crisis. Singh argues that international students are not to blame; instead, the responsibility falls on Trudeau’s administration.
The rise in international students has exacerbated the problem, as the pace of immigration has outpaced housing construction. Canada faces a shortage of 3.5 million residential units by 2030.
While some have criticized international students, they play a significant role in supporting homeowners and the economy by renting spaces and filling low-wage labor jobs. Capping international student numbers may not be the solution Canada needs.
Trudeau’s government is under increasing pressure, as the cost of living soars and the economy faces challenges. High interest rates and construction costs deter builders from starting new projects, and local opposition often halts new housing initiatives.
Addressing Canada’s housing crisis requires concerted efforts from policymakers at all levels of government. Immediate solutions are necessary to alleviate the mounting housing problems affecting Canadians.
As Trudeau navigates diplomatic tensions with India, it is the domestic housing crisis that demands his utmost attention and action.
