Bay of Quinte Dec 12, 2015: The most wide-reaching provincial economic forecast of the year, the Ontario Economic Update 2016, was released today by the Ontario Chamber of Commerce and the Credit Unions of Ontario, with support from the Quinte West and Belleville Chambers of Commerce. According to the data, strong 2015 residential sales in the Quinte Region and a stronger regional housing market are expected to drive economic growth after a disappointing 2015.
Multiple Listing Service (MLS®) residential sales in the Quinte region are up 20 percent, compared to a provincial average of 9.4 percent. Meanwhile, the MLS® residential average sale price is up about five percent in the Quinte region.
Belleville and Quinte West are located in the Statistics Canada economic region of Kingston-Pembroke, which has had a difficult 2015, and is expected to experience a 3.4 percent decline in employment. However, the region is expected to regain form in the coming years, with employment projected to grow by 2 percent a year through 2017.
Housing will continue to be a source of economic growth with more sales and new construction and higher prices. Meanwhile, the Quinte Region’s manufacturing base should benefit from an improving external economic backdrop, including a lower Canadian dollar and higher U.S. economic growth. Ongoing low oil prices are a positive for consumers and businesses as are low interest rates. Improved growth in Ontario’s economy will also contribute to the region’s growth in 2016 and 2017.
According to the province wide data, most areas of Ontario will enjoy improving economic conditions in the coming year. Growth will be driven in part by an uptick in exports, the result of a stronger U.S. economy and a low Canadian dollar. Government fiscal policy will also be a key driver, as federal and provincial infrastructure commitments will stimulate growth across a variety of sectors.
Bill Saunders, CEO of the Belleville Chamber of Commerce: “We are encouraged by these early signs of an economic recovery in our region lead by a strong and diverse economy. It remains to be seen what impact current and pending Provincial Legislation will have on our ability to sustain these results.”
Suzanne Andrews, General Manager of the Quinte West Chamber of Commerce: “The employment losses expected throughout the larger economic region are not evident in Quinte where manufacturers, the service sector and construction trades continue to struggle with a shortage of available workers. The Quinte Region needs to attract or develop a better available workforce so this issue does not impede their ability to take advantage of growth opportunities.”
Allan O’Dette, President & CEO of Ontario Chamber of Commerce: “Ontario businesses are helping Ontario emerge stronger from the downturn. However, our economy still faces significant challenges. In order to generate sustained economic growth, government must invest in infrastructure, close the skills gap, and ensure that input costs do not stifle investment or job creation.”
Helmut Pastrick, Chief Economist, Central 1 Credit Union: “Ontario and its regional economies will grow at a moderate but faster pace through 2017 aided by favourable external factors such as the low dollar and interest rates and an improving U.S. economy. Most regions will participate and contribute to Ontario’s improved economic prospects though differences exist among regions. Resource-based regions will be weighed down by poor metal markets.”
Key Facts and Highlights:
- The Kingston-Pembroke Economic Region defined by Statistics Canada includes the Kingston metropolitan area and the Frontenac townships, the counties of Lennox and Addington, Hastings, Renfrew, and Prince Edward.
- Multiple Listing Service (MLS®) residential sales in the Quinte region are up 20 percent, compared to a provincial average of 9.4 percent. The MLS® residential average sale price is up about five percent in the Quinte region.
- Looking ahead, the Quinte Region’s manufacturing base should benefit from an improving external economic backdrop, including a lower Canadian dollar and higher U.S. economic growth.
Download the full economic outlook at: https://quintewestchamber.ca/wp-content/uploads/2015/12/Regional-Outlooks_Kingston-Pembroke-Economic-Region-.pdf
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For more information, contact:
Bill Saunders Suzanne Andrews
CEO General Manager
613-962-4597 613-392-7635 |
OCC media contact information:
Senior Communications Advisor
t. 416-482-5222 ext. 2470