Canada’s Weak GDP Growth Despite Population Surge

Canada’s GDP growth has been flat or weak throughout 2023 despite growing population by 3.5%.

Early data points to 0.5% growth in final quarter of 2023. There was no growth from May to October 2023.

The mayor of Vancouver proposed pro-growth rules to reduce the barriers to building and streamlining regulations. Ken Sim released a seven-point motion that would direct city staff to prioritize new housing construction, allow for increased density around transit hubs, speed up a plan for 26 villages in the city and increase enforcement of short-term rental regulations.

There will be new rules to reduce delays for building more homes.

The rules will be similar to rules in Burnaby. The rules allow for automatic approval of high rises near skytrain hubs.

In October, the Ontario government unveiled plans to establish transit-oriented communities (TOCs) at six upcoming transit stations in Toronto, five along the forthcoming Ontario Line 3 and one along the Scarborough Subway Extension to Danforth Line 2, providing approximately 5,900 new residential units. The government’s stated objectives are to enhance transit accessibility, generate over 1,900 jobs, and embed affordable housing options close to high-speed transit in eastern Toronto.

The Canadian federal government has reached an agreement with the City of Toronto, Ontario, to fast-track nearly 12,000 new housing units over the next three years. This work will help spur the construction of more than 53,000 homes over the next decade and help meet the demand in Toronto.

Under the Housing Accelerator Fund, this agreement will provide over $471 million to eliminate barriers to build the housing faster. It will allow for more housing options in the city, including multiplexes of up to four storeys and four units. The Housing Accelerator Fund is helping cut red tape and fast-track the construction of over 380,000 new homes for people in towns, cities, and Indigenous communities across Canada over the next decade.

Toronto has had planning meetings on how to handle more population growth.