With record low unemployment and low government debt, B.C. is better positioned than most other provinces in Canada to deal with the pending economic storm, according to a recent report by the Chartered Accountants of B.C. (CABC).
Despite a softening of the Canadian economy, B.C. still has one of the lowest unemployment rates in the country at 4.6% in September. The low unemployment rate can be attributed to record job growth in Western Canada last year. In 2007, more than 70,800 jobs were created in B.C., a 3.2% increase over the number of jobs created in 2006.
The report noted that 42% of Canada's new jobs last year were created in Alberta and B.C. This job growth will likely help the province's economy grow faster than the Canadian average over the next year.
The province's low debt-to-GDP ratio was also lauded by the CABC report. The province's net liabilities-to-GDP ratio fell a further 2.3% to 9.1% in 2007, ranking B.C. with one of the country's lowest ratios It is second to Alberta, which has no debt. The CABC's report said this puts B.C. in a good financial position to deal with economic challenges.