California has significantly revised its population estimates upward, crediting a larger-than-expected influx of international immigrants for reversing recent trends of population decline, according to Just the News.

Governor Gavin Newsom framed the shift as a testament to California’s enduring appeal: “People from across the nation and the globe are coming to the Golden State to pursue the California Dream, where rights are protected and people are respected.”

According to the state Department of Finance (DOF), the population grew by 108,000 in 2024, bringing the total to approximately 39.5 million residents. The key driver was an upward revision of immigration figures, with 277,468 more immigrants arriving between 2021 and 2024 than previously estimated. This shift turned 2023’s reported population decline into net growth and further boosted 2024’s numbers.

Meanwhile, domestic outmigration continues but is slowing. The DOF reported that California lost 197,016 residents to other states in 2024, down from 249,308 in 2023. Natural increase—births minus deaths—also contributed, rising modestly from 105,550 to 114,805 over the same period.

The Just the News report says that out of California’s 482 cities, 241 saw population gains, 240 experienced declines, and one—Morro Bay—held steady. Among the state’s ten most populous counties, only Contra Costa in the East Bay reported a net loss, shedding just 24 residents.

Despite the population rebound, questions remain about the state’s fiscal outlook. Earlier Census data revealed that those leaving California generally earn more than those arriving, with outmigration from mid-2021 to mid-2022 causing a net loss of $24 billion in personal income. This demographic shift raises concerns that increased population won't necessarily translate into higher tax revenues.

Compounding the issue, California’s Legislative Analyst’s Office warned in November 2024 that the state has “no capacity” for new spending and is on track for annual deficits rising to $30 billion by 2026, as expenditures outpace stagnant revenue growth.