4361 Harvester Rd Unit 7, Burlington , ON L7L 5M4

What’s coming for Canada’s economy

Posted on February 5, 2018 by Circle Mortgage Team
VERICO economist Michael Campbell gives us an overview into the current state of the Canadian economy and what you should be aware of.

After continually underestimating the impact of falling resource prices – especially oil, the Bank of Canada has come to realize that this is a major restructuring of the economy that it estimates can take up to 5 years and remove $50 billion a year out of the economy annually.
But please understand that the economic problems are focused in Alberta, Saskatchewan and Newfoundland – the economy outside resources is still moving along.
The big economic hope on the short term rests on a falling loonie that represents a de facto 40% plus pay cut for Canadians over the last 2 ½ years. Given that 75% of our exports go to the States, exporters will be thrilled with the lower dollar.
We’re also looking for a big year in tourism thanks to the low dollar. The drop in the loonie has already spurred a 21% increase in same day visit from the US in the first 10 months of 2015 while same day visits to the States by Canadians dropped 9.3%, which is good news for retail.
Click here for the full report.

Share This Story, Chose Your Platform!
Copyright 2021 Circle Mortgage • All Rights Reserved. Privacy Policy
text-align-justify linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram