The Canadian Statistics Agency (StatCan) announced on Thursday that Canada will change the way it counts non-permanent residents after an economist said the current methodology may have overlooked around a million foreign students and workers and others.

This decision comes amid a heated debate over the housing affordability crisis, which is blamed on the increase in the number of immigrants and international students, leading to increased demand for homes at a time when rising costs have slowed down construction.

The government, facing growing political pressure, stated that it might consider capping foreign student visas.

Benjamin Tal, the economist at CIBC Capital, noted in a Wednesday memo that the argument for imposing any such limits would be more urgent if the government had the real numbers.

StatCan said it is committed to its numbers, but added that it will publish new, more detailed data on non-permanent residents next month using a revised methodology.

StatCan stated in an emailed statement: "We continuously assess and review our methodology to consider emerging demographic trends and new data needs." The term "StatCan" for non-permanent residents covers individuals living in Canada with work or study permits and asylum seekers.

Tal pointed out that the new approach being followed by StatCan will help provide a better understanding of the actual numbers in the country.

Tal said in a phone interview on Thursday: "The prerequisite for any policy in general, and housing policy in particular, is knowing the size and scope of the shortfall."