Canada’s economy got off to a strong start in 2023, with the addition of 37,300 jobs in January and a decrease in the unemployment rate to 5.7 percent. These numbers, released by Statistics Canada, indicate mixed results but are likely to keep the Bank of Canada’s policy unchanged until June. The bank has been under pressure to start cutting rates sooner, but strong wage growth, with average hourly wages rising 5.3 percent in January, remains a challenge to achieving its inflation target.
In other news, cord cutters in Canada may soon be able to watch sports through new sports streaming services announced by U.S. competitors Walt Disney, Fox, and Warner Bros. Discovery. Industry analysts suggest that Canada’s leading sports broadcasters, Rogers and Bell, follow suit and create their own streaming services to appeal to those switching from traditional TV networks to streaming platforms like Netflix and Amazon.
The United States has also shown a growing interest in Canadian crude oil, importing a record 4.36 million barrels per day in November. This increased demand has fueled economic output from oil and gas drilling in Canada, which rose 1.5 percent in November. The country’s economy seems to be benefiting from this surge in demand.
In corporate news, Gildan Activewear Inc. has been in the spotlight recently due to its CEO race. Former CEO and co-founder David Chamandy was fired by the board after a 20-year tenure, and a group of dissenting shareholders is seeking his reinstatement. Vince Tyra has been appointed as the new CEO, and he discusses his experience and plans in an interview.
Google Inc. has finally launched its AI chatbot Gemini in Canada after facing delays due to a standoff with the Canadian government over online news laws. Gemini, previously known as He Bard, is available in both English and French and offers a range of features, from transcribing audio to assisting with coding. The launch of Gemini was made possible by an agreement reached between the government and Google on the Online News Act.
Lastly, Canadian taxpayers should be aware of changes that could impact their 2023 tax returns. These changes include new rules regarding First Home Savings Accounts, remote work deductions, the Canada Worker Benefit, and short-term rentals. It is important for individuals to stay informed and understand how these changes may affect their tax obligations.
In conclusion, Canada’s economy is off to a promising start in 2023, with job growth and lower unemployment rates. The introduction of new sports streaming services, increased demand for Canadian crude oil, and developments in CEO races and AI technology are shaping the business landscape. Taxpayers should also stay updated on changes that could impact their tax returns.
