Alberta Growth Strong in 2013 and Only Getting Stronger
Jan 02, 2013
Alberta’s continues, despite the many constraints (oil prices, pipeline negotiations, labour shortages), to grow at a strong pace in 2013, leading the country in many respects. Here are a few examples:
1. CIBC World Markets forecast real GDP growth of 3.2 per cent for Alberta this year and a heady 3.3 per cent annually over the next decade compared to projected national growth rate of 2% for 2013 and an average of just 2.1 per cent a year through 2022.
2. Alberta economic growth will continue strong:
–BMO Capital Markets expects Alberta’s economy to remain strong 3+% (GDP growth in 2011 at 5.2% and 2012 at 3.4%).
–TD Economics predicts 3% in 2013 and 3.1% in 2014 (just ahead of runner-up Saskatchewan).
–ATB Financial suggest growth of 3% and 3.5% in 2013 and 2014 respectively.
–RBC Economics expects Newfoundland and Saskatchewan to post slightly higher growth rates in 2013 than Alberta (3.5%), expecting Alberta to reclaim top spot in 2014.
3. Alberta’s population is growing at the fastest pace since 1980, boosting activity in other areas of the provincial economy:
–Real-estate market in Alberta is in really good shape
–Retail activity is strong
–Agriculture is in excellent shape
While 2013 looks good for Alberta growth (not too strong and not too soft), 2013 is expected to set the stage for renewed acceleration in 2014 GDP reaching as high as 4.2%, dependant on the resolution to some of the economic constraints.