Watch: Alberta’s economic growth will likely take a heavy hit this year, but we aren’t facing a recession, according to ATB’s chief economist. Tom Vernon reports.
EDMONTON – The chief economist of Alberta’s Crown-owned bank says weak oil and natural gas prices will slow economic growth in the province this year.
Todd Hirsch of ATB Financial says that is likely to mean a loss of jobs, less investment in the energy sector and a modest decrease in housing starts.
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Immigration is also expected to decrease compared with 2014.
Hirsch is forecasting that economic growth this year in Alberta will fall by about one-half to two per cent.
Read More: Falling oil prices will carve $11.2B from Alberta’s coffers over two years: Prentice
He cautions that swings in oil prices will determine how the situation will play out in the coming months.
Hirsch says low oil prices and a soft Canadian dollar will help some sectors of Alberta’s economy, including agriculture, forestry and tourism.
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