We are in mid-August and the summer is drawing to a close. The economic news has been pretty slow in northern Ontario. Here are the stories of economic significance to northern Ontario over the last week or so. They are mainly focused on the Conference Board Reports which were issued in late July and early August and that show the northern Ontario economy is not growing as fast as either Ontario or Canada.
Thunder Bay economy advances "sluggishly". Tbnewswatch, August 9th, 2017.
Incidentally,
Netnewsledger in Thunder Bay ran this story August 3rd (and was reported in my last northern
Ontario economic news post.) I suppose narrative is everything. According to the Conference Board Report in the above story, real GDP in Thunder Bay will rise 0.2 per cent in 2017 and 0.9 percent in 2018 following a 0.2 per cent increase in 2016. Compare this to the Canadian economy which is expected to grow 2.3 per cent in 2017 and just under 2 percent in 2018. Ontario is forecast to surge at 2.3 percent in 2017 but then scales back to 1.8 per cent in 2018. Real GDP growth in Thunder Bay is forecast at below 1 per cent until 2021, Yet, apparently life in Thunder Bay goes on with personal income per capita expected to grow at greater than 3 per cent from 2018 to 2021. While the overall economy is not growing, having 30 percent of your employment in the broader public sector is lending a certain punch to average personal incomes.
Meanwhile in Sudbury, the Conference Board projects real GDP will grow at 1.2 percent in 2017 and 1.0 percent in 2018 but real GDP growth over the period 2018 to 2021 is also not expected to top 1 percent. Yet, the narrative in Sudbury is a little different.
Sudbury to grow in 2017: Conference Board. Thesudburystar.com. August 4th, 2017.
In other Sudbury economic news:
Vale looking at layoffs in Sudbury. Thesudburystar.com. August 12th, 2017.
In terms of the size of Vale's economic footprint in Sudbury: "
Vale operates five mines in Sudbury, as well as a mill, a smelter, a
refinery and employs nearly 4,000 workers. It mines nickel, copper,
cobalt, platinum group metals, gold and silver."
Timmins and the Sault also made their way into the Conference Board's Mid-Sized Cities Outlook and the report forecast real GDP in the Sault to grow 0.6 percent in 2017 and for Timmins to grow 1.4 percent in 2017. Of the four cities covered in these Conference Board Reports it would appear that Timmins is doing the best with the manufacturing sector as well as the primary and utilities sectors driving growth. Thunder Bay is forecast to grow the least.
Timmins ready for economic growth says Conference Board of Canada. timminspress.com, July 27, 2017.
Sault growth behind that of Ontario, Canada. saultstar.com. July 28th, 2017.
So what about North Bay? Well, no Conference Board Report for them. They are neither a "big" northern CMA like Thunder Bay or Sudbury or a "Mid Size" city like Sault Ste. Marie and Timmins. I'm sure that North Bay at least self-identifies as a Mid-Sized city and I wish to state that I consider North Bay one of the northern urban league of five - the N5 as I sometimes like to refer to them.
Still, here is an item of interest regarding the employment impact in northern Ontario - particularly North Bay -of an Electricity Trading Agreement entered into last fall with Quebec by the Ontario government.
Fedeli request leads to FAO probe on Ontario-Quebec Power deal. BayToday.ca. August 11th, 2017.
And another page in the inexorable march of retail change in the north:
Self-checkout threat to local jobs very real, labour warns. Nugget.ca, August 5th, 2017.
Enjoy the rest of the summer.
