The population count released today by Statistics New Zealand shows that the estimated number of people living here is 80,300.
Last year's figure stood at 79,300 so the increase is just under 1,000 people.
That represents a 1.2 percent rise and compares favourably with the national increase of 1.1 percent.
The City Council's Economic Policy Adviser, Peter Crawford, says a rise in student numbers has boosted the population and figures show that fewer people are migrating from Palmerston North to Australia.
"Reaching 80,000 is a milestone in Palmerston North's population growth and gives confidence that the city is on the move," he says.