Curious how the vaccine news will contribute to economic recovery in 2021? Discover below. TEC Canada is pleased to provide the Andersen Monthly Economic Report exclusively to our members. The former assistant chief of the Bank of Canada’s research department, Dr. Peter Andersen provides valuable economic insight to help you make better business decisions.
- For the Canadian economy, the challenge is to get through the next 90 days, past that point, the economy should be in acceleration mode through the rest of the year.
- The recovering U.S. economy will restore Canadian exports – exportation of forest and agricultural products already show a positive trend.
- Positive outlook for housing as Millenials are now in their prime home-buying years – mortgage rates will remain housing-friendly for at least the next 2 years. Baby Boomers are also contributing to the optimism in Canadian housing as the prospect of retirement homes is fading and they focus on home improvement, vacation property and single detached homes.
- Inventory sales are running at its lowest level in more than 5 years. Though this is changing soon – inventory accumulation will provide an important economic boost.
- Positive business sector outlook; shipments for core capital goods are now well above year-earlier levels and business equipment spending shows a big 4th quarter increase.
- Turning to a new year, 2021 brings expectations of the strongest 2-year stretch for global economic growth since 2010 and 2011.
- All of south-east Asia is in an economic re-expansion. China’s economy will have a boom year.
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To help ease the strain COVID-19 is placing on Canadian Businesses, TEC Canada has compiled insights from global experts to support business leaders as they navigate the challenges and opportunities presented. If you would like to receive similar information more regularly, please click here.