Forestry Woes Impacting Provincial Economy
By 250 News
B.C. Financial Minister Carole Taylor says B.C.’s economic growth is slowing, and in large part, the reason is the downturn in forestry.
Taylor was delivering the second quarter report which will help shape budget decisions for 2008.
“Internally our economy is strong with increases in housing starts showing a 3.2% increase, retail sales up 7% and non residential construction up 10.7% .”
She says the external economy is cause for worry. “In the first quarter our exports were down 2.7% in the second quarter, exports are down -4.1% and that is largely forestry.” That makes B.C. the worst external economy in Canada.
Those losses mean lost dollars in taxes from the lumber companies.
The internal economy is number five in the nation, with Alberta first, Saskatchewan second, Manitoba third, Newfoundland fourth and B.C. fifth.
Taylor is meeting with independent financial advisors next week and will get input from them on their prediction on where they think the economy will go.
The Provincial budget will be delivered on February 19th.
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