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Business Environment Profiles - Canada

Urban population

Published: 26 August 2024

Key Metrics

Urban population

Total (2025)

82 %

Annualized Growth 2020-25

0.1 %

Definition of Urban population

The urban population in Canada is calculated using World Bank population estimates and urban ratios from the United Nations World Urbanization Prospects. Furthermore, the World Bank refers to the urban population as people living in urban areas as defined by national statistical offices. Since data is only released every two years, IBISWorld estimates data for years that are unavailable.

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Recent Trends – Urban population

The proportion of Canadians living in urban areas has increased steadily since over the past decade. Therefore, the three largest urban areas, Toronto, Vancouver and Montreal, currently make up over one-third of Canada's entire population. Over the past five years, growth in urban migration has flattened as the number of people living in rural areas has declined significantly. There are various reasons for rural-urban migration in Canada, including access to more economic opportunities and other civic facilities. Additionally, large parts of Canada remain below freezing temperatures for most of the year and the harsh climate makes living in rural areas riskier. In recent years, Canada has also experienced a sharp increase in immigration, which has led to heightened levels of urban population growth.

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5-Year Outlook – Urban population

Moving forward, the proportional size of the urban population is expected to continue to increase...

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