TORONTO — British Columbia’s economy is on track to lead the other provinces in growth this year, according to a report from BMO Financial Group.
It estimates B.C.’s economy will grow by 3.0 per cent this year — more than twice the national growth of 1.2 per cent.
But BMO says neighbouring Alberta is in a recession, with its economy expected to shrink by another 2.3 per cent — following a decline of 4.0 per cent in 2015.
The banking group says the downturn in Alberta’s energy sector has spilled into other parts of the economy and the provincial unemployment rate is above eight per cent for the first time since the early 1990s.
Newfoundland and Labrador is also expected to see its economy shrink this year — by 2.0 per cent — but Saskatchewan will eke out a small gain of half a per cent following last year’s decline.
The report says Ontario, Manitoba and Quebec are expected to have growth above the national average while the three Maritime provinces will come in below the average.