Nunavut premier forecasts double-digit economic growth in 2024
Akeeagok touts diversification in Nunavut Trade Show keynote speech
Nunavut Premier P.J. Akeeagok spoke optimistically about the territory’s economy Tuesday at the Nunavut Trade Show in Iqaluit. (Photo by Jeff Pelletier)
Nunavut Premier P.J. Akeeagok is expecting major economic growth in the territory next year.
In a lunchtime speech at the Nunavut Trade Show Tuesday afternoon, Akeeagok told delegates the Nunavut economy is expected to grow by 13.6 per cent in 2024, up from around seven per cent in 2023.
“I’m happy to report Nunavut’s economy is expected to expand strongly this year, at a rate of seven per cent — that’s six per cent higher than 2020,” he said.
“Even better, our growth rate is expected to almost double in 2024, reaching an impressive 13.6 per cent.”
These numbers were provided to Akeeagok by the Government of Nunavut’s Department of Economic Development and Transportation, according to press secretary Michele LeTourneau.
Canada’s economic growth rate is expected to be much lower than that in 2023 and into 2024. TD Bank’s quarterly economic forecast, coincidentally published on Tuesday, pegged Canada’s growth rate at 1.2 per cent for this year and 0.7 per cent next year.
Akeeagok highlighted economic diversification as a key area of growth in his speech, including areas like harvesting and mining.
Mining, in particular, has experienced significant growth, especially at the height of the COVID-19 pandemic, Akeeagok said.
“While several sectors of the economy contracted during COVID years, our mining sector expanded in both years by 27 per cent in 2020 and 14 per cent in 2021,” he said.
“Ascending gold production and iron ore shipment, coupled with firm commodity prices should rise the value of our 2023 mining output.”
Akeeagok also provided a few other updates on developments in the territory.
He said he expects 210 homes will be built by 2025 as part of the Nunavut 3000 housing initiative, which he described as an “unprecedented” construction rate.
Nunavut 3000 calls for 3,000 new housing units to be built across the territory by 2030.
Akeeagok drew upon the recent Northwest Territories wildfires to address the gap in infrastructure and services in the North compared to southern communities, saying he intends to keep pushing for more support from Ottawa.
Nunavut residents in Yellowknife were ordered to evacuate with the rest of the city, Kitikmeot medical patients were re-routed, and mail delivery was delayed as a result of the fires.
“They highlighted the inequity between Canada’s North and south when it comes to transportation routes,” Akeeagok said.
“This is something I will continue to raise with Prime Minister Trudeau.”
The Nunavut Trade Show continues in Iqaluit through Thursday.
That GDP growth isn’t for us. An increasing share of Nunavut’s GDP flows directly south to Ontario, Quebec, and the RoC via mining and construction employees and Consultants.
Fitting that he would parade this at the Mining Symposium.
You are totally correct. Nunavut has failed to meet its key industry half way. Premier Savigataaq committed to a mine training center. This has disappeared in Akeeagok’s business plan. Any other jurisdiction in Canada where there is significant mining, there are public and private colleges and universities there to train people to participate. Here in Nunavut, none. People should be shocked how many nunavummuit actually do work in mining.
That outflow of money increased under Savikataaq, he’s not exactly a good standard against which to measure.
Here’s an idea – AEM and Baffinland collaborate to build a mine training center, and the RIA’s start thinking more about their constituents than their royalties when negotiating IIBA’s.
We in southern Canada must learn to respect the north alot more
Double digit for your family and friends I say.
Who ever is advising this premier needs to be replaced. 210 homes by 2025. So will that mean we will see 2790 homes from 2025-2030?
That’s impressive for any economy to grow by 13.6 per cent. Takes a lot investment dollars. Along with a dedicated work force to achieve that kind of increase.
The numbers alone say nothing.
1 is 50% of 2.
Nunavut’s GDP growth is intrinsically linked to the fluctuations in commodity prices. As a territory rich in minerals and natural resources, its financial stability and progress largely depend on global market dynamics related to these commodities. While there are other contributing factors, the overarching determinant remains the unpredictable ebb and flow of commodity prices, making the economy vulnerable to external shocks and emphasizing the need for diversified economic strategies.
Yeah!?! well, think about non-decentralized municipalities that lacks infrastructures and government jobs! Thought about it?
this is all smoke and mirrors. i mean what really happened year over year? Baffinland is operating full time. What else? It does’nt take much to get an increased rate up here. So dont roll about the red carpet.
Indeed. Pretending this is the result of ‘diversification’ between mining and harvesting (would be curious to see those numbers) is delusional.
The main things that we need to diversify away from are unemployment and despair. Any diversification that reduces those is a good thing.
We could also stand to reduce the paramountcy of government (employment, contracting, grants, whatever).
Percentages alone tell us nothing.
Going from 2 to 3 is a 50% increase.