OTTAWA – The economic outlook for Canada's territories looks bright in 2015, according to the latest Territorial Outlook published by the Conference Board of Canada.
The gross domestic product of Nunavut, Yukon and Northwest Territories is predicted to grow 5.3% next year, following 1.5% growth in 2013. In 2016 the Conference Board suggests that the GDP will grow only a further 2.4%.
Next year is the one to watch with interest. Nunavut's economy is expected to grow by 6.8%. In Yukon the rate will be 6.6%, and in the Northwest Territories it will be 3.6%.
The exceptional jump of the GDP in 2015 is due to strong investment in the mining sector. The Conference Board pointed toward several projects that are expected to advance to the construction stage, but the Board's list omitted a few projects that we at CMJ continue to watch.
To save readers the time it takes to thumb though the Canadian & American Mines Handbook, here is a list of territorial development projects we found in that publication:
Baffinland Iron Mines
Canadian Zinc Corp.
De Beers Canada &
Mountain Province Diamonds
Avalon Rare Metals
North American Tungsten
Victoria Gold Corp.
We will, however, give the last word to Marie-Christine Bernard, associate director, provincial and territorial forecast at the Conference Board: "While the current financing environment is not conducive to rapid expansion of mining projects in the territories, prospects for the medium to long term are generally positive.
"The business case for many of the mining projects in the North in the medium to long term remains good; demand for minerals will grow as the world economy continues to claw its way back from the 2008-09 financial crisis and recession," she concluded.
The Territorial Outlook is available on the Conference Board's website for free.