Baystreet.ca - S&P Global Ratings Revises Up Its Forecast For Canada’s Economic Growth
S&P Global Ratings has upwardly revised its projections for Canada’s economic outlook for 2020 and 2021 while reaffirming its top credit rating on the country’s debt. "Canada’s recovery will occur in two stages: a near-term bounce in aggregate demand and employment activity as lockdown restrictions ease, followed by a more gradual, protracted, and uneven improvement in the economy," the ratings agency said in a statement. S&P’s positive outlook comes after rival Fitch Ratings removed its highest investment grade rating on the nation, citing a deterioration of its public finances resulting from the COVID-19 pandemic. The aggregated budget deficit for federal, provincial and municipal governments is on track to reach 11.6% of Canada’s gross domestic product (GDP) for 2020 and 2.6% next year, S&P said.