Still reeling from lower oil prices, Edmonton’s economy is poised to contract by 0.1% in 2015
The dramatic fall in oil prices has, not surprisingly, put a strain on many key industries in Edmonton and its economy is poised to contract by 0.1% in 2015, according to The Conference Board of Canada’s Metropolitan Outlook: Fall 2015.
The insurance industry, along with finance and real estate, however, are the only three of the city’s eight service sectors on track for growth, projected to be more than 2% this year.
“The decline in oil prices is set to take its toll on Edmonton's economy as key industries post sluggish growth and even outright declines,” said Alan Arcand, Associate Director, Centre for Municipal Studies. “But it's not all doom and gloom as sectors like housing and manufacturing are positioned for healthy gains. In addition, job growth is on track to remain positive.”
Edmonton’s economic outlook looks brighter in 2016 with the anticipated expansion of 1.8%.
Of the 13 CMAs covered in the report, Vancouver will have the fastest growing metropolitan economy in 2015. Toronto, Winnipeg, Halifax, and Montréal round out the top five spots. In contrast to Edmonton and Calgary, which face recession, these cities are all on track to post economic growth above 2%.
