Economy Rebounds Slightly Amid Concerns over Long-Term Performance
TORONTO, Sept. 29 /CNW/ -
Finance Minister Dwight Duncan today released the Ontario Economic
Accounts for the second quarter of 2008. They show that Ontario's real Gross
Domestic Product grew 0.3 per cent in the second (April to June) quarter of
2008, rebounding from a 0.4 per cent first quarter decline.
The rebound in GDP was largely due to an increase in business inventories
together with gains in household and business spending.
However, lower exports continued to be a major source of weakness for the
economy as well as the ailing manufacturing sector.
The Minister will be releasing his Fall Economic Statement on
October 22nd, 2008 outlining the fiscal plan for the rest of the year.
"While second quarter GDP is up, my concern is not whether we have two
quarters of negative growth in a row - but a protracted period of little or no
growth," said Minister Duncan. "That's why, like some Ontario families who are
tightening their household finances, we will continue to make the necessary
adjustments to best respond to the needs of the economy and all Ontarians."
"The slumping U.S. economy and a global economic downturn are causing
some real challenges for the Ontario economy," said Duncan. "We saw these
challenges coming and that's why last fall, we introduced a comprehensive
economic five-point plan which responds to the needs of our communities and
- Ontario's real GDP growth was stronger than national growth of
0.1 per cent in the second quarter.
- The economic accounts provide an overall assessment of the current
state of the Ontario economy.
- Since last December, the Ontario economy has created 51,900 net new
jobs. In August, Ontario reported a gain of 14,000 net new jobs.
- Sectors continuing to perform solidly include construction,
education, healthcare and professional and administrative services.
Read the 2008 Q2 Ontario Economic Accounts
Learn more about Ontario's five point plan
Visit Fairness.ca (http://www.fairness.ca/), Ontario's fairness campaign.
Learn more about the Fall Economic Statement
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For further information:
For further information: Alicia Johnston, Minister's Office, (416)
325-3645; Scott Blodgett, Ministry of Finance, (416) 325-0324