Canada economic recovery from COVID-19 will take time
Friday, June 19, 2020
Significance
The pandemic has plunged Canada into recession. Employment rolls shrank from 19.2 million (mn) in February to 16.2mn in April. Although they rose to 16.5mn in May, concerns about domestic and export demand, plus household debt, cloud recovery prospects.
Impacts
- Further COVID-19 shocks will mean further rises in already high household debt levels.
- Federal and provincial austerity measures are likely.
- Domestic tourism could rise, while the wider domestic services sector will gradually reopen.
- More Canadians will work from home, which will help bolster smaller cities and rural areas.
Related articles
