Report from the Legislature
April 25, 2024
A strong economy means a bright future for our province and its people. The 2024-25 Provincial Budget makes record investments in classrooms, care and communities – which are only possible due to our strong and growing economy. That’s why our government is committed to making strategic investments that help our economy to continue to grow.
An essential part of growing our economy is expanding our markets and exports outside of Canada. This ultimately leads to more jobs at home and allows us to invest in classrooms, care and communities. That’s our reality as an export-based province.
With a budget of $40.6 million, the Ministry of Trade and Export Development is supporting Saskatchewan’s economy by growing our presence in international markets. Leading the way will be Securing the Next Decade of Growth: Saskatchewan’s Investment Attraction Strategy, which will help grow and maintain private capital investment in the province.
Equally important will be Saskatchewan’s recently announced labour market strategy – Building the Workforce for a Growing Economy: the Saskatchewan Labour Market Strategy – which outlines how the province will ensure Saskatchewan people benefit from the jobs our economy is creating. The strategy also ensures that Saskatchewan employers have access to the workforce they need to succeed.
In February 2024, Statistics Canada announced that total capital investments in Saskatchewan increased by 25.9 per cent in 2023 to $17.1 billion – second among provinces in terms of percentage change. This is expected to increase by another 14.4 per cent in 2024 to $19.6 billion – again second among provinces in terms of growth.
As evidence of the growth of investments in Saskatchewan, private companies have committed to more than 60 large-scale investment projects across the province in recent years, totalling more than $39 million. These include projects in the agri-value, manufacturing and processing, mining, forestry and energy sectors.
Our government recognizes the contributions small businesses make to our economy. That’s why the budget maintains the small business tax rate of one per cent until June 30, 2025. It was scheduled to return to two per cent in July 2024, but the extension of the existing one per cent rate will allow owners to re-invest in their operations.
The amount of eligible business income on which the small business tax rate applies will remain at $600,000 – the highest threshold in Canada. Saskatchewan will also continue to have the second-lowest small business tax rate in Canada, making the provincial tax environment very competitive.
Saskatchewan’s strategic economic investments continue to pay off. Our exports to the world continue to grow, reaching $49.3 billion in 2023. Saskatchewan goods reached 163 countries, with 32 of those countries receiving over $100 million in provincial exports. Saskatchewan ranks first in Canada for per capita exports at $40,425, which is more than double the national average. The top exports were crude petroleum oil, potash, wheat, canola seeds and oil, lentils, uranium, dried peas and barley.
These trade numbers are a testament to the incredible work being done by our exporters, producers and industry leaders. The continuous work of Saskatchewan’s network of nine international trade offices to showcase our story abroad is clearly having an impact on international markets.
Here at home, housing starts increased 12.1 per cent from March 2023 to March 2024. Construction investment totalled $235 million in February 2024, up 96.2 per cent from January – the highest growth among the provinces. This is also up 22.6 per cent from February 2023.
Our consumer price index here in Saskatchewan increased only 1.5 per cent from March 2024 to March 2023 – the second lowest increase in Canada and well below the national average of 2.9 per cent. This is largely due to our government’s decision to remove the carbon tax from home heating, helping to keep life affordable for Saskatchewan people.
Our government remains committed to investing in Saskatchewan’s key industries, ensuring economic growth continues. As we continue this work, I look forward to hearing your feedback. You can contact my constituency office at 306-692-8884 or mjnorthmla@sasktel.net.
The views and opinions expressed in this article are those of the author, and do not necessarily reflect the position of this publication.
