The economics team at BMO Bank of Montreal has issued a bullish outlook for Saskatchewan’s economy in the next 18 months.
The mid-year update is forecasting expansion of 1.8-percent this year and 2-percent next year, just a tenth of a point behind nation-leading Alberta in both.
In its finding, the bank notes that both provinces are well positioned to deal with tariffs and trade uncertainty given our product mix and the markets we serve.
For this province, petroleum production is rising while potash prices are elevated. Further, capital inflows are supporting a stronger-than-average labor market as our population grows but unemployment is the lowest in the country at just over 4-percent.
It used to be that we examined fundamentals in economic forecasting but these days political consideration are the primary factor with the evolving US position on tariffs and trade casting a long shadow. On that front, the three western-most provinces will find it easier to weather the ride while central Canada, where manufacturing is such a key industry, will have a tougher journey.
