City of St. John’s Economic Outlook 2024 Shows Promising Year Ahead

City of St. John’s Economic Outlook 2024 Shows Promising Year Ahead

Economic Outlook 2024: St. John's Census Metropolitan Area

Economic Outlook 2024: St. John’s CMA

The City of St. John’s has released its Economic Outlook 2024 report, which provides data on several economic indicators for the St. John’s CMA including: GDP, labour market, household income, retail sales, housing starts, and population.

The St. John’s economy is set for a promising year ahead, according to the latest Economic Outlook report released by the City,” said Mayor Breen, council lead for Economic Development. “The resurgence in oil production and sustained construction activities are expected to drive increased economic activity in 2024.”

Most economic indicators are anticipated to show positive trends in the St. John’s Census Metropolitan Area (CMA):

  • Gross Domestic Product (GDP): Economic growth, as measured by Gross Domestic Product (GDP), is projected to increase by 3.2% to reach $16.1 billion ($2017). This boost is largely due to the Terra Nova floating production, storage, and offloading vessel (FPSO) operating at full capacity following the Terra Nova Asset Life Extension (ALE) program.
  • Employment: Employment is forecast to rise by 1.7%, reaching 118,300 persons by year-end. Significant growth is expected in sectors such as ‘Forestry, fishing, mining, quarrying, oil and gas,’ and ‘Construction,’ with a collective increase of 5.1% in the goods sector.
  • Population: The population of the St. John’s CMA is expected to grow by 1.4% to 235,359 persons by the end of 2024. This increase is complemented by a projected growth in household income of 5.6%, reaching $12,952 million, driven by higher employment levels and increased federal government transfers.
  • Housing: Housing starts are anticipated to rebound, totaling 681 units in 2024, reflecting a notable 39.6% increase from the previous year. Factors contributing to this improvement include population growth, higher incomes, potential interest rate reductions, and government incentives like the Housing Accelerator Fund.
  • Retail: Retail sales are expected to continue growing, with a projected increase of 3.1%, driven by an expanding population and rising household incomes.

St. John’s continues to thrive, driven by a spirit of innovation and resilience,” added Mayor Breen.

The Economic Outlook report also summarizes the final 2023 economic indicators for the St. John’s CMA, prepared by the provincial government’s Department of Finance.

The Economic Development and Partnerships Division provides a variety of economic and statistical information, including an Economic Review/Outlook twice a year in addition to a monthly Economic Snapshot.

Read the full report