Reports of our economic demise have been greatly exaggerated, according to RBC’s latest Economic Outlooks report. Canada’s real GDP is projected to grow 3.6% this year, following first quarter growth of 6.1%, the strongest in over a decade.
RBC expects core inflation to remain below 2%, and unemployment to average around 8%, before lowering to 7.3% in 2011. And Saskatchewan and Newfoundland are expected to lead the country in growth, followed by Alberta.
The report is optimistic on the world economy as well, with European growth expected to increase slightly this year and sharply next year.