News East West
TORONTO: Canada has terminated its federal Immigrant Investor Programme (IIP) and Federal Entrepreneur (EN) Programme which offered permanent residence to those who brought $800,000 investment into the country.
The Immigrant Investor Programme (IIP) has a backlog of 65,000 applications.
The Canadian government says it plans to introduce new pilot programmes in place of these cancelled programmes.
The termination of the two programmes comes under the Economic Action Plan (EAP) 2014 which aims to “build a faster, more flexible immigration system that makes real contributions to Canada’s long-term prosperity.’’
Why have the two programmes been cancelled?
Citizenship and immigration minister Chris Alexander says the alternative pilot programmes will better meet Canada’s labour market and economic needs.
A government press release says, “The current IIP ( Immigrant Investor Programme) provides limited economic benefit to Canada. Research shows that immigrant investors pay less in taxes than other economic immigrants, are less likely to stay in Canada over the medium- to long-term and often lack the skills, including official language proficiency, to integrate as well as other immigrants from the same countries.’’
Government estimates say that over a 20-year career, an immigrant investor pays about $200,000 less in income taxes than a federal skilled worker and almost $100,000 less in taxes than one live-in caregiver.