Will $150 billion in investment finally help Louisiana grow its population?
By Rich Collins
Source: The Times-Picayune | NOLA.com
July 20, 2026
Tristan and Emily Babin moved from the New Orleans area to Houston in 2022 to follow Tristan’s job in the energy industry.
After the birth of their first child, though, the couple discovered the challenges of living in a giant Texas city where everywhere you need to go — from the pediatrician’s office to a friend’s house — is at least a half-hour drive away.
So, last year, they came home. And they’ve got no regrets about the decision.
“It takes a village to raise a family, but it’s hard to do that in Houston because of the way it’s laid out,” Tristan Babin said. “Everything is beautiful, new and modern, but certain parts are just endless concrete.”
The Babins’ story no doubt is music to the ears of Louisiana economic developers working to lure investors, businesses and young professionals to the Pelican State in the hopes of reversing a decades-long trend of population stagnation.
But it’s also an anomaly.
Since the turn of the century, Louisiana has lagged behind its Southern neighbors in economic and population growth as its reliance on oil and gas suffered from global economic changes and the industry’s consolidation in Texas. An increase in weather-related risk and costs exacerbated the state’s problems, contributing to the “brain drain” that draws many young Louisianians out of state in search of opportunity.
The result? Louisiana’s population has grown just 3% since 2000 — from roughly 4.5 million to 4.6 million people. South Carolina, by comparison, has added more than 1.5 million people — a nearly 40% increase — in that same span.
It’s a long-term trajectory that is not sustainable, which is why economic development experts and policy leaders have stepped up their focus on how best to grow the population. It’s not a new conversation, but it’s one that has taken on a new sense of urgency as study after study shows Louisiana continuing to lose ground to peer states.
Experts know that jobs, ultimately, drive population growth. That’s why Louisiana Economic Development officials point to $150 billion in new industrial projects they have attracted to the state — including Meta, Hyundai and LNG plants — as the best way to lure more people to the state.
But the same experts also say that the efforts must go beyond jobs to create communities that offer what young families want in a place to live: good schools, affordable housing, a safe environment and amenities like public parks and bike paths.
“To bring and keep more people here, we have to fix insurance affordability, increase educational access and invest more in communities,” said Allison Hotard, executive director of the Young Leadership Council in New Orleans.
‘People vote with their feet’
The crowd in the cafeteria of the New Orleans Saints training facility on a Wednesday morning earlier this month was noticeably less physically fit than usual.
That’s because, instead of professional football players, the space was filled with a few hundred businesspeople, political leaders and policy wonks gathered to hear a panel of experts talk about ways economic development can help the region grow.
Participants in the hourlong conversation hosted by the Bureau of Governmental Research talked about strategies to boost jobs as a way to grow the population.
Jeffrey Schwartz, New Orleans deputy mayor for economic development and community development, touted the city’s plan to revive New Orleans East. It involves courting investment related to the Port of New Orleans’ proposed container terminal in St. Bernard Parish and the growth at the existing Michoud Assembly Facility in New Orleans East.
“Nearly every rocket that has ever taken a human from U.S. soil into outer space has been built in New Orleans,” he said. “If we are not telling that story, how do we expect folks graduating from our 13 higher ed institutions to stay in this region?”
Panelists acknowledged the well-documented challenges of life surrounding a city of 360,000 residents that is now roughly half its peak size.
Speakers said the factors driving people away from south Louisiana include high insurance costs, bad roads, subpar public transportation, public safety concerns and a perceived lack of economic opportunities.
“People vote with their feet,” Walt Leger, president and CEO of New Orleans & Co., told the crowd. “When communities provide educational opportunities and affordable housing, people move to those locations and they stay there.”
Setting goals
BGR isn’t the only organization focused on population growth. Greater New Orleans Inc., the regional economic development nonprofit, is preparing to launch an initiative called “5×5” in January that seeks to grow the metro area’s population by 5% over the next five years — boosting the number of people in the metro area from 1,440,000 next year to 1,512,000 in 2032.
The group endorses efforts to “double down” on sectors of the Louisiana economy with the best growth potential based on global trends and the state’s strengths. Areas of focus include energy, defense, aerospace and trade.
Hand in hand will be efforts to “destroy dissatisfiers” by investing in public safety, flood control, homeless policy and education while combating the inflated cost of living by advocating for more public support for fortified roofs and national hazard insurance.
“Growing population comes down to four interrelated imperatives: economic opportunity, quality of life, affordability and brand,” said Michael Hecht, who will transition from GNO Inc. CEO to an emeritus role next year.
Hecht said the state is already making historic economic gains in the energy, maritime, defense and aerospace sectors, and that quality of life can be improved via low-cost policy and advocacy. He cites the NOLA Coalition, an anti-crime alliance formed in 2022, as a successful example of the strategy.
GNO Inc. also plans to garner support from the business community to fund a national marketing campaign.
“We have a strong story to sell,” Hecht said.
Attracting Gen Z
Andrew Fitzgerald, an executive at the Greater Baton Rouge Economic Partnership, said the conventional wisdom that people follow jobs has evolved.
“Polling shows millennials and Gen Z work to live instead of living to work, so they’ll be willing to take a haircut on salary or job title to be in a place that they enjoy,” he said.
Fitzgerald attributes the growth of Ascension and Livingston parishes to their combination of efficient governments, strong public schools, new parks and relatively new housing that’s still affordable, especially compared to a larger metro area like Houston or Atlanta.
“Those and other amenities are really important to young talent,” he said. “They’ve just had a great time for four years and they want to continue that after college as well.”
Companies, too, are looking for appealing places — not just whoever offers the biggest tax break. They want locations that will make it easier to attract and retain top talent.
“When Hyundai Steel announced its $6 billion facility in Ascension, it made sense in terms of incentives and land availability, but dozens of their executives from South Korea plan to move there as well, so they care about the community,” Fitzgerald said.
‘Chicken and egg’?
Ultimately, Louisiana’s economic developers wrangle with a “chicken or egg” dilemma: Do people come to a community for jobs, or do jobs gravitate to desirable communities?
“One doesn’t happen without the other,” LED Secretary Susan Bourgeois said during a phone interview last week. “Looking for funding dollars for schools and roads becomes a difficult equation unless you are bringing in more economic activity and tax revenue.”
Bourgeois said what’s happening in Richland Parish, where the new Meta data center is under construction, is showing the power of investment, as her team tries to leverage that tentpole project to attract clusters of related industries. Now, nearby Monroe is showing signs of economic growth.
The future Hyundai steel plant in Donaldsonville could provide another example.
“You can bet that their public services should be much better once they start collecting that sales tax and property tax,” Fitzgerald said. “Then the ‘chicken and the egg’ becomes the virtuous cycle: A company puts more money in people’s pockets, generating tax revenue, and that creates an attractive community.”
Activity related to those two projects and others like them might also be contributing to Louisiana’s increase in labor force participation, according to Bourgeois, and the state’s modest population growth for the second year in a row, particularly among 18- to 30-year-olds.
“Those are really good markers, and it’s really important to that fundamental shift,” she said.
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