Economy in Winnipeg expected to slow in 2018: report
The report projects the city’s real GDP growth will likely reach 3.6 per cent this year, which would be the strongest growth in nearly 20 years, before slowing to 1.4 per cent in 2018. (File image)
Winnipeg’s economy is expected to tail off next year, according to a report from the Conference Board of Canada.
The report projects the city’s real GDP growth will likely reach 3.6 per cent this year, which would be the strongest growth in nearly 20 years, before slowing to 1.4 per cent in 2018.
Saskatoon and Regina are also expected to see economic declines next year, the report said.
“Winnipeg’s economy is also enjoying robust growth this year. But economic growth is projected to moderate in all three Prairie cities in 2018, with Winnipeg expected to experience the sharpest decline,” said Alan Arcand, associate director, centre for municipal studies.
The manufacturing sector in Winnipeg is being buoyed by a demand for transportation equipment, demand from the U.S., and a low Canadian dollar. The construction sector has also gotten a lift from residential demand and non-residential projects, the report said.
The report said the drop expected in 2018 can be attributed to several factors, including a decline in housing that will affect construction and real estate. Consumer spending is also expected to drop, while manufacturing should remain fairly strong.
Despite the slower economy, job growth is forecast to reach 1.3 per cent this year and get to 1.6 per cent next year.