Provincial Outlook Economic Forecast: Ontario—Spring 2017
The Conference Board of Canada, 76 pages,
July 4, 2017
This quarterly economic forecast for the province of Ontario examines the economic outlook for the province, including gross domestic product (GDP), output by industry and labour market conditions.
- Ontario’s economy will operate at, or very close to, its potential through 2019, with real GDP forecast to grow by 2.4 per cent in 2017 and 1.8 per cent in 2018.
- Continued labour market strength and gains in disposable income will fuel consistent growth in consumer expenditures, and the wealth effect from rising home valuations will support housing-related expenditures on durable and semi-durable goods through the near term.
- According to The Conference Board of Canada’s spring 2017 Survey of Business Confidence, more than half of Ontario businesses are operating near or above capacity; yet, far fewer believe that now is a good time to undertake a major capital expansion. By contrast, government investment will surge to offset the weakness.
- Soft business investment and elevated public debt undermine an otherwise strong outlook.