Canada’s
export sector is expected to remain resilient in 2012 in large part due to
increased momentum in the U.S.
economy, which is set to power global economic growth and offset weakness in Europe
and emerging markets, says the country’s export-credit agency.
Export Development Canada, in an update to its fall
forecast, said risks still abound - from Europe’s
financial strains, which would “scar” global growth, to increased geopolitical
turmoil linked to Iran
- and, as a result, has downgraded its global outlook. Nevertheless, recent
momentum in the U.S.
economy looks sustainable and will provide a jolt the global economy needs,
said EDC’s chief economist, Peter Hall.
“Our real point is the U.S. is
taking the clear lead here, breaking away from what’s happening in other
economies,” Hall said in an interview. “The U.S. has the
wherewithal to go it alone and charge ahead.”
EDC forecasts global growth to hit 3.7% in 2012,
down from its previous forecast of 4.3% issued in October. This is due in large
part due to a ratcheting down of growth prospects in Europe,
to a meagre 0.4% expansion from its previous call for 1.6% growth. Canada is set
to post 2% economic growth, from the original 2.3% projection. Read more here.
