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The vibecession could end next year, BMO forecasts – National [Video]

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Canadian National News

A new forecast from the Bank of Montreal (BMO) is signalling that the economic situation the deputy prime minister called a “vibecession” could come to an end next year.

In a brief note to clients from BMO economist Shelly Kaushik published late Monday, the bank suggested that a decline in population growth to a “more manageable pace” and signs the economy is rebounding through monetary policy easing mean the “vibecession” should dissipate in 2025.

BMO’s note comes only a week after Deputy Prime Minister Chrystia Freeland suggested the federal government’s proposed break on GST and HST, which is making its way through the Senate, would address the “vibecession.”

“There is a disconnect between the really positive economic news, the fact that the Canadian economy does appear set for a soft landing — that’s good news — but Canadians aren’t feeling it and that is shaping their economic behaviour in ways that are not great for the Canadian economy,” Freeland …

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