CIBC: Toronto leads Canadian cities in economic momentum

Toronto is ranked first in CIBC World Markets‘ Metropolitan Economic Activity Index.

report published today by Benjamin Tal, the Deputy Chief Economic of CIBC World Markets, noted that Toronto outperformed all other Canadian Census Metropolitan Areas (CMAs) in economic momentum as of the third quarter of 2012.

In the report, Tal wrote that he was impressed that Toronto has maintained its first place ranking for more than a year.

“Given that our index measures momentum as opposed to a level of activity, Toronto’s ability to maintain momentum for such a long period is impressive,” Tal wrote.

Toronto’s impressive run in the number one spot was amplified by the fact that the city has consistently ranked in the top five for more than seven consecutive years, only dropping to number seven briefly during the 2009 recession.

While the city did not place first in any of the CIBCWM’s sub-measures of economic momentum, it ranked high enough in many of the categories to give it the edge over other cities in the overall measure. The report cited a recovery in the manufacturing sector, construction activity in residential and non-residential segments and high employment growth as the primary factors driving the strong economic momentum.

Calgary, Regina, Winnipeg and Saskatoon rounded out the top five for Q3 2012.

Check out the chart below to see how the CMAs stacked up against one another in the CIBCWM’s Metropolitan Economic Activity Index:

cibcwm

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