S&P SEES 5.4% GROWTH NEXT YEAR

S&P Global Ratings revised its projections on Canada’s economic and fiscal outlook for 2020 and next year while maintaining its top credit rating on the nation’s debt amid the pandemic. Canada’s economy is expected to contract 5.9 per cent in 2020 before expanding 5.4 per cent next year, senior economist Satyam Panday said in a report. That compares with its previous forecast made in April of a 5.3-percent contraction this year, followed by six-per-cent growth in 2021. “Canada’s recovery will occur in two stages: a nearterm bounce in aggregate demand and employment activity as lockdown restrictions ease, followed by a more gradual, protracted, and uneven improvement in the economy,” the ratings agency said. S&P amended its projection days after rival Fitch Ratings removed its highest investment grade rating on the nation.