Steep losses this week in stock markets, the collapse of oil prices, and the curtailment of cruise ships and travel will hit B.C. through reductions in corporate and personal tax revenues, in hotel tax revenue, and in export revenue, said Ken Peacock, chief economist at the B.C. Business Council.
The business council has revised its projected growth of B.C.’s gross domestic product to 1.4 per cent for 2020, down from two per cent projected in January. The provincial budget pegged GDP growth at 1.9 per cent, meaning the province is already off target.
“There’s really no data on economic impact so far,” said Peacock, citing the risk of cancellations of conferences, sporting events and other large-scale public gatherings. “But we will almost certainly be revising our look down again.”