Provincial Economic Outlook for Canada 2026

This document is a report detailing the provincial economic outlook for Canada as of January 19, 2026. It outlines the economic growth forecasts for various provinces, noting a general slowdown in growth due to trade shocks and reduced immigration inflows. The report highlights that while the Canadian economy is expected to grow at a rate of 1.5% in 2026, western provinces are likely to outperform the national average due to lower tariff impacts. The document discusses household consumption trends, indicating a softening in consumer spending, and notes that interest rate cuts may provide some support. It also covers investment growth, stating that residential investment has been resilient, while non-residential investment remains subdued but is expected to rebound. Additionally, the report addresses export performance, demographic challenges, and the impact of tariffs on various sectors. Overall, the report presents a comprehensive view of the economic landscape across Canadian provinces amid ongoing uncertainties.