By / TOM FLETCHER, Penticton Western News
B.C.’s economy is expected to shrink by 6.1 per cent in 2020, getting back to pre-pandemic output part-way through 2022 with the help of housing and industrial construction, Canada’s credit union organization says.
Central 1 Credit Union’s latest forecast has the B.C. economy growing by 4.0 per cent in 2021, then recovering the rest of the 2020 loss in 2022 as service business rebounds more slowly than goods production. Unemployment is expected to remain at around 10 per cent by the end of 2020, gradually improving to six per cent by 2023.
“Ongoing recovery is set to persist through 2021 and beyond, aided by major construction projects such as the LNG Canada project and the Site C dam, which were initiated prior to the pandemic, but will remain below pre-pandemic levels into 2022,”said Bryan Yu, deputy chief economist for Central 1, releasing the forecast Sept. 9.