Economic Outlook 2014/15

The Canadian Chamber of Commerce has released it’s Economic Outlook 2014/15 document.

Canada’s sluggish economic performance appears to be behind us. Canada’s economy is on track to expand by 1.7 percent in 2013, matching the previous year’s sluggish pace.  The economy is projected to grow by 2.3 per cent in 2014 and strengthen moderately to 2.5 per cent in 2015.

GDP 2013In the report, they examine the Household Credit Growth which has decreased while the household savings rate has increased.  Sales on large ticket items like vehicles, furniture and so forth have shown strong sales.

The Housing Market shows only slight decreases projected for 2014 and 2015, citing echo boomers and immigrants for keeping the market steady.

Federal and provincial governments are targeting balanced budgets by 2014/15 overall, with the exception of Ontario which is aiming for 2017/18.

Canada’s steady work at free trade agreements with various emerging market countries has kept a slow steady growth in exports, and accounts for 82% of Canada’s global growth.  A recent Export Development Canada survey showed that 1/3 of all companies indicated exporting to new markets in the last two years, and about 1/2 have plans to expand into new foreign markets in the next two years.  The top five countries cited were Brazil (12%), China (10%), Germany (9%), and U.K. (8%), and Mexico (7%).  Overall, the Canadian International Merchandise Trade shows a steady increase.

Inflation is not going anywhere, and is predicted to remain around the 1% to 2 % mark.  The Canadian dollar is predicted to go down in comparison to the US dollar.  While good for export sales, those who like to travel may think twice.

While there are no regional forecasts in this publication, other agencies have indicated that Canada’s three territories will likely outperform GDP growth nationally.

To read the entire report, please click on the link provided.  2014-15_Economic_Outlook

 

 

 

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Angela About Angela

Hi, I am Angela Fiebelkorn, President of the Fort Simpson Chamber. You can contact us at fscofc@gmail(dot)com or call 867-695-6538.