(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

100 Mile House’s six new permanent paramedics have arrived

Richard Miller is one of six new full-time paramedics in Station 327

France doubles up Croatia 4-2 to win World Cup

Played in Moscow Russia, latest Fifa World Cup marks the highest scoring final since 1966

In your own backyard: Ruth Lake

An afternoon of napping on Ruth Lake

Anyone but England

A weekly sports column by the 100 Mile Free Press

From the archives of the 100 Mile Free Press

38 Years Ago (1980): The provincial government dispensed over $28,000 in grants… Continue reading

REPLAY: B.C.’s best video this week

In case you missed it, here’s a look at replay-worthy highlights from across the province this week

Non-union construction industry fears exclusion in B.C.

Premier John Horgan imposes ‘project labour agreements’ for public works

BC Wildfire says Kamloops wildfire ‘being held’

Firefighters worked tirelessly this weekend to stop the spread of a wildfire east of Kamloops.

Trump, Putin sit down a bit late for closely watched summit

Trump and Putin arrived Monday at Helsinki’s presidential palace for a long-awaited summit.

In TV interview, Trump claims queen called Brexit ‘complex’

Asked the queen’s view on Brexit, Trump said: “She said it’s a very complex problem.”

Exotic corpse flower begins to emit its putrid scent at Vancouver conservatory

A unique and exotic tropical plant, acclaimed for its size and abhorred for its smell, is blooming at a Vancouver conservatory.

CREA reports June home sales down 10.7% from year ago, but up from May

The Canadian Real Estate Association says home sales in June were down 10.7 per cent compared with a year ago.

Tens of thousands give heroes’ welcome to Croatia team

Euphoria gave way to a mixture of disappointment and pride for Croatia fans after their national team lost to France in its first ever World Cup final.

Crews battle fire northeast of Terrace

The 10-hectare fire was discovered Saturday

Most Read