A new economic forecast released by one of Canada’s big banks on Friday projects a severe hit to Alberta’s economy this year as the world grapples with the COVID-19 pandemic.
The TD Economics forecast projects a recession deeper than what Alberta experienced in 2015. The report suggests the province’s economy will shrink by 5.5 per cent this year, and the unemployment rate will rise to 9.5 per cent.
That’s assuming the COVID-19 pandemic disruption is over by the end of May. Combined with the pandemic, which has seen jobs lost across the country, the price for a barrel of oil dropped below the $10 mark this week.
Western Canadian Select oil, bitumen blended with lighter oils to allow it to flow in a pipeline, fell to a record low of US$4.58