14 January 2015 – Philippine Consul General in Toronto Junever Mahilum-West joined the first Consular Corps Luncheon of the year at the National Club in downtown Toronto on January 13. Mr. Aron Gampel (center), Vice-President and Deputy Chief Economist of Scotiabank, as guest speaker discussed the bank’s global economic forecast for 2015.  Mr. Milo Vassalo (right), Treasurer of the Consular Corps Association of Toronto presided over the event.

Mr. Gampel cited three major factors for a possible upturn in global economic performance: recovery of the US economy, especially if sustained; the over 50% slide in the price of crude oil which will produce cash flow boosts to consumers and businesses; and low interest rates.

However, a  stable and broad-based global economic recovery is far from certain, with stock markets broadly correcting worldwide, government bond yields in many countries plunging to historically low levels, the weakening of most currencies, growing strains in the Euro zone and numerous geopolitical challenges internationally.

Oil producing Canada, by virtue of its diversified economy, stands to weather the shocks of decreasing oil prices by virtue of its built-in shock absorbers – vibrant domestic demand and consumer spending, and manufacturing, agricultural and high-technology exports that could offset revenues lost due to lower-priced oil products and lower investment in oil-shale exploitation.

Strengthening domestic demand, economic  stimulus  such as infrastructure and other big-ticket government spending, nimble and adept combination and application of fiscal and monetary policies and further developing overseas markets for non-oil exports are among Mr. Gampel’s recommendations for economies to weather  the present economic uncertainties and to further improve economic performance. END