By Stephen Johnson, Economics Reporter For Daily Mail Australia
Published: 00:56 BST, 21 September 2020 | Updated: 01:26 BST, 21 September 2020
The coronavirus pandemic is expected to cause the steepest plunge in Australia's population since World War I - amid fears of a 40 per cent house price plummet.
The federal government's National Housing Finance and Investment Corporation is forecasting a 0.8 per cent population decline over two years.
In the absence of immigration, Australia's population was expected to fall by 214,000 between a peak in 2019 and a trough in 2021.
Half of that was attributed to the drop-off in international students, following the closure of Australia's national border in March.
The coronavirus pandemic is expected to cause the steepest plunge in the Australian population since World War I. The federal government's National Housing Finance and Investment Corporation is forecasting Australia's population will shrunk by 0.8 per cent over two years. Pictured is an empty Wynyard station in Sydney
'Immigration cuts have flow-on effects on population growth – temporary (international students) immigrants are the main driver of population growth,' the NHFIC report said.
Australia's immigration pause would spark the steepest population decrease since World War I, shortly before the Spanish flu pandemic in 1918 reached Australian shores.
Only the unwinding of the long post-war baby boom in 1971 saw a comparably