Flaherty sees no recession for Canada
Finance Minister Jim Flaherty says he’s not expecting a recession in Canada, but will be flexible on the issue of stimulus spending if conditions worsen.
The finance minister says he has the latest consensus on economic growth from private sector economists and the news is no better than a projection from the Bank of Canada delivered earlier in the morning.
Both the central bank and private sector economists say the economy is slowing and will record at best moderate growth to wind up this year and into next year.
The economists say the economy will advance by 2.2 this year and 2.1 next year, a little more optimistic than the central bank’s 2.1 and 1.9 per cent call.
Flaherty says that’s not great growth, but neither is it a reason to despair.
The finance minister says he’ll be keeping in eye on what happens to Canada’s jobs market to determine if he needs to intervene with more stimulus.