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TORONTO, Aug. 5, 2020 /CNW/ - The technology sector is the good news story for the Canadian economy, according to an outlook for the sector in the BMO Blue Book.
The BMO Blue Book, published by BMO Economics and BMO Business Banking, combines the expertise of BMO's economists with information on current national and provincial business conditions provided to BMO's business bankers by local businesspeople. This edition also features an outlook for five key sectors of the Canadian economy: technology, agriculture, energy, manufacturing, and construction.
"With Canada's economy and workers crushed by COVID-19 and low energy prices, there has never been a better time for high-tech to carry the torch," said Doug Porter, Chief Economist, BMO Financial Group. "Though still relatively small, the sector is growing rapidly and can only benefit from an acceleration in online shopping and remote working, activities that rely on efficient, high-speed digital technology."
The report notes that few sectors have grown faster than Information and Communications Technologies. Led by a number of high-flying homegrown companies and a rapid expansion of U.S. technology giants north of the border, it has consistently outperformed the national economy in recent years.
The report also states that foreign tech firms are attracted to Canada's welcoming immigration policies, stable political system, well-educated population, and relatively low industry wages. "Overall, the tech sector is a beacon of light in a very cloudy economic outlook," concluded Mr. Porter.
"We continue to see strong appetite from companies operating in the technology space looking for growth capital," said Devon Dayton, Managing Director, Technology & Innovation Banking Group, BMO Bank of Montreal. "With shifts in consumer preferences and changes in how businesses operate, we expect further growth in this sector and stand ready to support companies to leverage these tailwinds."
The BMO Blue Book can be downloaded at: https://bmoficc.bluematrix.com/sellside/EmailDocViewer?encrypt=97c0d8cd-f2d4-430e-82d2-b73dce5354f9&mime=pdf.
About BMO Financial Group
Serving customers for 200 years and counting, BMO is a highly diversified financial services provider - the 8th largest bank, by assets, in North America. With total assets of $987 billion as of April 30, 2020, and a team of diverse and highly engaged employees, BMO provides a broad range of personal and commercial banking, wealth management and investment banking products and services to more than 12 million customers and conducts business through three operating groups: Personal and Commercial Banking, BMO Wealth Management and BMO Capital Markets.
Internet: www.bmo.com Twitter: @BMOMedia
SOURCE BMO Financial Group
