Manufacturing rebound bolsters metropolitan economies in Quebec
Ottawa, ON -- A modest recovery in the manufacturing sector will make Montral one of the fastest growing Canadian ...
Ottawa, ON — A modest recovery in the manufacturing sector will make Montral one of the fastest growing Canadian census metropolitan areas (CMAs) outside Western Canada in 2007, according to the Metropolitan Outlook Spring 2007, a Conference Board of Canada report.
Montrals manufacturing sector is expected to grow for the first time since 2000, said Mario Lefebvre, director, Metropolitan Outlook Service. Combined with a services sector that shows continued strength, Montral can expect to rank among the top half of Canadian CMAs in economic growth this year.
The Montral CMA is forecast to grow by 2.6% in 2007 and by 3% in 2008.
In contrast to many other Central Canadian CMAs, the manufacturing sector in Quebec City posted impressive results in 2006, and the outlook remains healthy for this year and next. The services sector is performing well and non-residential construction is expected to rebound. But the continued downward trend in residential construction activity will limit overall growth. All in all, Quebec Citys economy is forecast to grow by 2.2% in 2007.
Saguenays economy is expected to grow by a modest 1.5% in 2007. Strong demand for aluminum and softwood lumber boosted the manufacturing sector last year and will continue to bolster the regions economy. However, a declining population continues to limit the CMAs economic prospects.
For the fourth consecutive year, Calgary and Edmonton will lead all 20 Canadian CMAs covered in this edition of the Metropolitan Outlook. Calgarys economy is expected to expand by 4.2% in 2007, followed by Edmonton at 3.7%.
Here are some other highlights from the study, which can be obtained by visiting www.conferenceboard.ca.
Healthy services sector activity will lead to economic growth of 2.9 per cent in Halifax in 2007.
Qubec Citys real GDP growth will dip to 2.2 per cent in 2007 as residential construction keeps declining.
The recovering manufacturing sector will help Montrals economic growth accelerate to 2.6 per cent in 2007.
OttawaGatineaus real GDP growth will moderate to 2.2 per cent in 2007still outpacing Ontario as a whole.
Torontos economy will grow by 2.5 per cent in 2007 before finally getting back on a fast growth track by 2008.
Real GDP growth in Hamilton will reach 1.5 per cent in 2007, limited once again by weakness in manufacturing.
A decline in housing starts will lead to an easing in economic growth to 2.6 per cent this year in Winnipeg.
Reginas economic growth will decelerate to 1.9 per cent in 2007 as output in the goods sector moderates.
Easing services sector and manufacturing growth will slow Saskatoons GDP growth to a still healthy 2.9 per cent.
Calgarys economic growth is poised to ease to a still solid and nation-leading 4.2 per cent in 2007.
More moderate services sector gains will slow Edmontons GDP growth to a still robust 3.7 per cent this year.
Vancouvers economic growth will ease to 2.9 per cent in 2007, given slower services output growth.
Although real GDP growth will slow to 2.8 per cent in Victoria this year, employment will rise by 2.7 per cent.