Economic Review 2016
Economic Review 2016 reports that economic performance in the St. John’s Census Metropolitan Area (CMA) was mixed in 2016. Labour and housing markets exhibited considerable weakness, while real gross domestic product (GDP) is estimated to have posted positive growth.
“Real GDP is estimated to have increased by 3.1 per cent, however growth in household income and retail trade was modest,” says Councillor Dave Lane, Chair of the Economic Development, Tourism and Public Engagement Standing Committee. “The economic slowdown is evident in housing starts which declined 15.4 per cent to 833 units, and the unemployment rate which increased to 7.8 per cent.”
In 2016, employment in the St. John’s CMA increased by 0.4 per cent (or 500 persons), and the labour force grew by 1.9 per cent leading to the unemployment rate increasing by 1.3 percentage points. The Consumer Price Index (CPI), which is an indicator of the rate of inflation, increased by 2.6%.
Household income increased by 1.1 per cent, the lowest rate of growth in this indicator since 1997. Similarly, retail sales experience slow growth with an increase of 0.9 per cent.
Outlook for 2017
“The outlook for 2017 continues to be subdued,” said Mayor Dennis O’Keefe. “As some major projects edge into completion, there is expected to be a decline in capital investment.”
Note: The St. John’s Census Metropolitan Area (CMA) is a Statistics Canada geographically defined area including St. John’s and neighbouring communities. Data prepared by Government of Newfoundland and Labrador, Department of Finance (Economic Research and Analysis Division) and the City of St. John's (Economic Development, Culture and Partnerships Division), March 2017.
The Economic Development, Culture and Partnerships Division provides a variety of economic and statistical information, including an Economic Review/Outlook twice a year in addition to a monthly Economic Update. These reports and additional data can be found in the publications section at www.stjohns.ca.
City of St. John's