Business confidence in Alberta held its ground in January
Business confidence in Alberta in January was higher than in most other parts of the country
By Rob Roach, ATB Economics 2 February 2022 1 min read
Based on a survey of its members, the Canadian Federation of Independent Business (CFIB) produces an index of small business confidence called the Business Barometer®. The barometer’s long-term index* is based on how businesses expect to be performing in 12 months.
The index for Alberta barely moved last month, going from 62.2 in December to 62.1 in January.
Alberta’s index hit 70.9 in July—the highest level since November 2014.
Business confidence in Alberta has likely eroded since the summer due to concerns regarding inflation, labour supply challenges, supply chain disruptions and the Omicron variant.
The picture is somewhat different at the national level with the long-term index falling from 62.6 in December to 54.3 in January.
Business confidence slipped in every province except Nova Scotia. Ontario’s index fell the most, going from 68.5 in December to 56.3 in January.
P.E.I. had the highest index in January at 66.3 followed by Alberta at 62.1. Confidence was lowest in Saskatchewan with a reading of just 49.6.
Although down from the summer, business confidence in Alberta in January was higher than in most other parts of the country and was much improved compared to the early days of the pandemic and the dark days of the 2015-2016 recession.
*Measured on a scale between 0 and 100, an index above 50 means owners expecting their business’s performance to be stronger in the next year outnumber those expecting weaker performance.
Answer to the previous trivia question: According to Rolling Stone magazine, Bruce Springsteen was the musician who made the most money in 2021 largely due to the sale of his publishing copyrights and master recordings to Sony for US$550 million.
Today’s trivia question: Why is the month of February called Helmikuu in Finland?