The drop in Canada immigration caused by the COVID-19 pandemic threatens to derail an important driver of economic growth, a new RBC Economics report has warned.

Permanent resident arrivals dropped sharply, particularly in April, side-lining the federal government's strategy of immigration-fuelled economic growth.

International travel restrictions and the closure of the Canada-U.S. border were necessary to stop the spread of the deadly virus.

Now RBC Economics is predicting Canada will welcome a maximum of 70 percent of the targeted 341,000 immigrants in 2020.

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