Toronto, Hamilton lead cities in growth

The cities of Toronto and Hamilton are booming.

According to the Conference Board of Canada’s ‘Metropolitan Outlook – Autumn 2010’, Toronto and Hamilton have the fastest growing economies this year.

Despite a 2.3% decline in GDP last year, Toronto’s economy will bounce back with growth of 4.7% in 2010. Manufacturing output is expected to post double-digit growth in 2010. Retail sales are on track for solid growth as well.

Hamilton’s economy will expand by 4.5% in 2010. This is the city’s strongest gain in ten years. The manufacturing sector is expected to grow for the first time in eight years and a big rebound in housing starts provided a lift to the area’s construction industry.

“Most metropolitan economies enjoyed strong growth in the first half of 2010 typical of recoveries that follow a recession,” said Mario Lefebvre, Director of the Conference Board’s Centre for Municipal Studies. “Economic growth will continue at a more moderate pace over the remainder of this year and next.”

Other Canadian Cities

Saskatoon: Rebounds in manufacturing and the service-producing industries underpin expected growth of 4.5% in Saskatoon’s real GDP. A very active labour market will continue to attract new migrants.

Vancouver: The province is on track to expand by 4.3%. Improved domestic demand has boosted output among service-producing industries, while vigorous construction activity is leading the way in a rebounding goods sector.

Edmonton: Robust housing demand, stronger retail activity and a recovery in manufacturing will help lift Edmonton’s economy by 3.8%.

Ottawa-Gatineau: Strong consumer demand will increase their GDP by 3.7%, its fastest rate of growth in ten years. However, the economy is expected to slow next year, as the federal government’s departmental spending freeze restricts growth in the public administration sector.

Regina: Growth in the manufacturing industry and in most services sectors will help lift the economy by 3.5% in 2010.

Calgary: Real GDP is forecast to rise by 3.5% this year. The recovery is being fueled by rebounds in manufacturing, construction and retail trade, along with continued growth in health care, education and public administration.

Québec City: A recovering manufacturing sector, along with stronger growth in construction and most services-producing industries, will support a 3.4% increase in Québec City’s real GDP.

Victoria: The economy will grow by 3.3%, as renewed domestic demand boosts activity in the construction industry and in the overall services sector.

Montreal: Recoveries in manufacturing, wholesale and retail trade, as well as a strong increase in construction output, will drive growth of 3.2% in Montréal’s economy this year.

Halifax: Their economy will improve by 3.2% and that is thanks to widespread gains across most sectors of the economy.

Winnipeg: The province’s real GDP is slated to rise by 2.4%, thanks to a stronger services sector and a recovering manufacturing industry.