Yesterday, Ontario’s Minister of Finance, Charles Sousa, presented the government’s Long-Term Report on the Economy. The report is an assessment of the province’s financial and economic environment and is released every four years.
The report projects Ontario’s real Gross Domestic Product (GDP) will grow at an average annual rate of 2.1% over the next 20 years. Although this is below Ontario’s pre-recession rate of 2.6%, it is close to the Canadian average of 2.2%. The Minister attributed Ontario’s aging population and tough post-recession economy as contributing factors to this lower economic growth rate.
Despite Ontario’s modest growth, Minister Sousa has announced the province will balance its books by 2017-2018. Ontario’s deficit currently sits at $11.3 billion.
OREA continues to monitor Ontario’s budget and economic environment. Earlier this year, the association made a submission to the Ministry of Finance during pre-budget consultations that outlined OREA’s key issues including: stopping the spread of the municipal land transfer tax (MLTT), allowing REALTORS® to form personal real estate corporations, and encouraging the government to form a provincial marijuana grow operations registry.