We have to look past the ‘Canadian’ economy and examine regional realities more closely.
That’s the theme of a look at 2026 prepared by the economics unit at RBC Royal Bank.
The dominant theme in economic news these days is trade and tariffs but not all regions are feeling their effects equally. Ontario and Quebec, especially southwest Ontario, will feel the brunt of the impact because of their large manufacturing base.
Resource rich provinces like Saskatchewan and Alberta, on the other hand, are likely to maintain positions of strength and grow faster than the national average. In their forecast, we are the only provinces that will see GDP grow by more than 2-percent this year.
Another metric they examine is population growth. They see BC’s population declining as people move to other parts of Canada, a development that will see rental rates soften. Alberta and Saskatchewan will not experience similar trends.
As they put it, the most critical takeaway from their outlook is that Canada can not be looked at a whole but rather as the amalgamation of its regional colors.
