The sun is expected to continue to shine on the economy of Vancouver Island according to a report released today by the Vancouver Island Economic Alliance, but perhaps not as brightly as last year. John McKinley/VI Free Daily

Economic summit says Vancouver Island economy remains rosy

But there are warning signs, according to a report by the Vancouver Island Economic Alliance

The economic prospects of Vancouver Island are looking pretty good at the moment.

Just not quite as good as they looked in the fall of 2016.

That’s the verdict of the the third-annual State of the Island economic report unveiled this afternoon as the Vancouver Island Economic Summit wrapped up in Nanaimo.

RELATED: John Horgan addresses Vancouver Island Economic Summit

Susan Mowbray, an economist with MNP and the report’s author said many of the Island’s key economic indicators remain strong, however their rate of growth has slowed. And a few extenuating factors — locally and abroad — bear watching.

Foremost among the big picture items are the increases in Bank of Canada’s prime lending rate and the uncertainty surrounding the North American Free Trade Agreement.

Closer to home, while the demand for wood products remains strong, access to wood fibre means there has not been corresponding increases in wood production. Meanwhile, retail and service businesses are struggling to fill low-wage jobs in part because of a lack of affordable housing.

The growth in the number of international students and tourists coming here has slowed. The caveat of course it that those numbers are still very strong, unemployment is at some of the lowest levels in the province and the softwood situation has yet to put its feared dent in the forestry industry.

And the housing market is booming as our population growth continues in all sub-regions except the North Island.

“I don’t want anyone to think the Island economy won’t continue to go well; it will,” Mowbray said. “The outlook remains rosy. It’s just not quite as rosy as it was a year ago.”

Just Posted

Man flees Bay Centre after daytime sexual assault in downtown Victoria

The suspect physically and sexually assaulted a 12-year-old girl shopping with a friend

Claremont launches lunchtime robot club

After months of assembling their designs the Claremont Vex robot club held… Continue reading

Thrilling finish to Royals weekend in Victoria

WHL club hosts Portland for a pair this Friday and Saturday at Save-On Centre

Chinese New Year takes to the streets of Victoria

Hundreds brave chilly temperatures to usher in the Year of the Dog

WATCH: Vancouver Island man catches dashcam video of near head-on crash

Video shows oncoming van cross over centre line

How to keep local news visible in your Facebook feed

Facebook has changed the news feed to emphasize personal connections. You might see less news.

BCHL Today: Langley enjoys home ice while roller coast ride continues for Chilliwack Chiefs

BCHL Today is a (near) daily look at what’s going on around the league and the junior A world.

North Island Bantam Eagles chop down Sooke Thunderbirds in semi-final showdown

It was another do or die playoff game for the North Island Bantam Eagles last Saturday.

Federal government to fight solitary confinement ruling from B.C. court

B.C. Supreme Court decided to end the practice of solitary confinement in Canadian prisons

Hedley withdraws from Junos, plans to discuss ‘how we have let some people down’

Hedley was dropped by their label last week after sexual misconduct accusations

OLYMPIC ROUNDUP: B.C. takes home gold in two-man bobsleigh

Women’s hockey team beats Russia 5-0, Comox skier takes home best qualifying score

Wounded Warrior Run 2018 leaves Port Hardy

The Wounded Warrior Run is a relay run where a group of runners cover Vancouver Island in seven days

Calgary man dies in Mexico following sudden illness

Troy Black was with his wife, Lindsay, in Puerto Vallarta when he began vomiting blood on Thursday

Most Read