Foreign Investors Are Getting Drawn Towards Canada

20 Jul 2010

Canada, a developed nation was better prepared than any other countries in weathering the effects of the global recession. Canada has already recovered from economic recession while some developed countries are still struggling. Canada’s approach to economic management like strict banking regulations, stable banking system, low debt ratio and economic immigration has created a safe place to invest.

Canada’s economic immigration has also contributed successfully to Canada’s economic progress. Canada has several advantages attractive to foreign investors—a stable banking system, an attractive tax environment, and a low, and stable, debt ratio. Since January 2009, non-residents have acquired Canadian investments in excess of $100 billion. The increase in demand is attributable to the eagerness of foreign central banks and sovereign wealth funds to diversify their foreign currency holdings away from U.S. dollars and Euros.

While Canada admits 60% of its immigrants as economic immigrants (skilled workers, professionals, entrepreneurs and investors), in the US only 14% of immigrants meet that criteria. Canada has one of the highest immigration rates in the world, receiving about 250,000 new permanent residents annually.