Deloitte Canada remains positive about Saskatchewan's economic future this year in its April 2024 report. April 2024 report.
According to Dawn Desjardins, the chief economist of Deloitte Canada, Canada is likely to avoid a recession.
Desjardins mentioned that the economy is expanding slowly, but the first quarter might have exceeded expectations. economy Desjardins said that consumers are having to cut back due to high net-service costs, which are limiting spending on other goods and services.
She noted that the business investment outlook for the end of 2023 was generally weak.
It is anticipated that real GDP growth will be around one per cent for 2024, with Saskatchewan being slightly higher at 1.4 per cent.
Deloitte Canada predicts that growth will increase in the coming years, with Saskatchewan's real GDP expected to grow by 3.1 per cent in 2025 and 3.6 per cent in 2026.
Desjardins mentioned that the economy is currently weak and is expected to grow slowly in the first six months, but is projected to improve later in the year.
She also stated that Saskatchewan is performing relatively well, with economic growth expected from increased business and investment in potash and uranium.
She added that these substantial increases will significantly benefit the economy in the upcoming year.
Desjardins highlighted that the increased population growth and low unemployment rate are also contributing to the economy.
She remarked that while agricultural production is expected to rise in Saskatchewan, it could be affected by drought conditions.
However, she mentioned that Saskatchewan is faring well compared to other provinces, ranking second alongside Alberta.
This is in line with the provincial budget announcement made in mid-March, which anticipated a 0.9 per cent increase in provincial revenue.
The province also stated that Saskatchewan is on track to reach a total population of 1.25 million people later this year. Oil prices are predicted to be slightly lower than the 2023-24 forecast of $77.30 a barrel, while potash pricing is expected to decrease from $284 per KCI tonne to $268 per KCI tonne. Deloitte Canada expects that Saskatchewan will see economic growth primarily due to investments in the mining industry.
The province said that Saskatchewan is set to reach a total population of 1.25 million people later this year.
Oil prices are speculated to be slightly lower than the 2023-24 forecast of $77.30 a barrel to $77 a barrel. The government is also expecting potash pricing to go down from the 2023-24 forecast of $284 per KCI tonne down to $268 per KCI tonne.
