(Alpha Stock Images)

British Columbia’s economy is forecast to remain strong through 2020

Central 1 Credit Union says 2017 was a year of ‘stellar growth,’ and momentum will continue

B.C. is predicted to have solid economic growth through 2020 by a trade association of credit unions.

Central 1 Credit Union says 2017 was a year of “stellar growth” and the positive momentum will continue in B.C. for the next 24 months, despite a slower housing market.

The new forecast calls for a three per cent growth in the province’s real gross domestic product, which is the inflation-adjusted value of all goods and services produced in B.C.

Growth is expected to slow to just over two per cent next year, but Central 1 economists are calling for a rebound to 3.3 per cent by 2020, marking what they say has been “more than a decade of uninterrupted annual growth.”

Federal lending restrictions, provincial government policies and stepped up home construction will combine to keep a lid on B.C.’s housing market, but Central 1 does not foresee a price correction.

Bryan Yu, deputy chief economist at Central 1, says warning flags include trade disruptions due to trade wars or disputes over renewal of the North American Free Trade Agreement, but he says B.C.’s exports are spread across the province, limiting some of the risk.

Yu also forecasts faster wage growth for B.C. workers, as average unemployment moves toward four per cent over the next two years.

“Employers will face increasing challenges in finding workers to support operations as employment is constrained by growth in the labour force due to an aging population,” he says in a news release.

Overall, Yu predicts a surge in investment by the end of the decade as major private and public works projects get underway.

“B.C.’s economy remains in a strong position with consumer demand underpinned by high employment and income growth, rising exports and government spending,” he says.

The Canadian Press

Like us on Facebook and follow us on Twitter.

Just Posted

Large suspected ammo found at Cassidy recycling facility

Area businesses voluntarily evacuated

BC Games marks 40 years in 2018

Cowichan Games a milestone for BC Games Society

Campfire ban coming into effect across West Coast

The Coastal Fire Centre says bans will begin on Wednesday

UPDATE: Brush fire in Shawnigan likely caused by cigarette butt

They identified the area as being just after the turnoff to Sooke Lake Road

Trudeau asks transport minister to tackle Greyhound’s western pullout

Prime Minister Justin Trudeau says he’s asked Transport Minister Marc Garneau to find solutions in Greyhound Canada’s absence.

Restaurant Brands International to review policy over poaching employees

One of Canada’s largest fast-food company to review ‘no-poach’ franchise agreements

Calgary family’s vacation ends in tragedy on Texas highway

Three people died and four others were injured in the crash

Union construction cost competitive, B.C. Building Trades say

Non-union firms can bid on infrastructure, but employees have to join international unions

Trudeau to shuffle cabinet ahead of Liberals’ team for 2019

Trudeau could lighten the work loads of cabinet ministers who currently oversee more than one portfolio

Car calls 911 on possible impaired B.C. driver

A luxury car automatically calls Princeton police to scene of crash involving alcohol

VIDEO: Life’s a beach at this B.C. sand sculpting contest

More than $50,000 was up for grabs at the annual contest held in Parksville

Group urges Canada to help Holocaust denier on trial in Germany

They’re concerned about Canada’s apparent unwillingness to come to the aid of Monika Schaefer

RCMP seek person of interest after elderly man left with ‘life altering’ injuries

Burnaby RCMP believe a male teen is a ‘person of interest’ in the case

Most Read