TrendLine Saskatchewan - September 2025

Employment growth (2.7%) in August driven by employment in Agriculture, Resource Extraction, Utilities, Construction, Educational Services, Health Care, and Public Administration

• YTD provincial employment up 2.7%
• YTD Housing starts up 47.6%
• Building permits up 33.6%

Saskatchewan's economy showed broad growth in 2025 with total average year-to-date employment rising by 2.7% (16,288 jobs) as of August compared to 2024, driven primarily by gains in Agriculture, Resource Extraction, Utilities, Construction, Educational Services, Health Care, and Public Administration, while Manufacturing, Wholesale and Retail Trade, Transportation, and Professional Services saw declines. Most new jobs were full-time, and the unemployment rate fell from 5.7% to 5.1%. Regional employment gains were led by Regina-Moose Mountain with the lowest unemployment in Swift Current-Moose Jaw. Housing activity surged with a 47.6% increase in year-to-date housing starts and a 6.8% rise in housing prices. Inflation moderated to 1.7%, mainly from food, shelter, and recreation costs. Building permits rose 33.6%, buoyed by residential and institutional growth despite a small drop in industrial permits. Exports declined 3.9% overall, although some sectors such as electronic equipment and transportation parts grew strongly. Retail trade expanded 5.6%, with most categories up except beer, wine, and liquor stores. Manufacturing sales dropped 6.8%, while new motor vehicle sales rose 19.1%. Wholesale trade grew 4.2%, and average weekly earnings increased 4.8%. Restaurant receipts grew 7.1%. Population reached a record 1,266,959 in Q3 2025, driven by international immigration despite ongoing net inter-provincial outmigration. Meanwhile, the Bank of Canada cut its key interest rate by 25 basis points to 2.5% in September to support the softening national labor market and economic risks, signaling potential further easing ahead. Saskatchewan’s economy is poised for moderate growth supported by strong labor markets, housing, and construction sectors, though challenges remain in trade-exposed industries.

Saskatchewan's economy showed broad growth in 2025 with total average year-to-date employment rising by 2.7% (16,288 jobs) as of August compared to 2024, driven primarily by gains in Agriculture, Resource Extraction, Utilities, Construction, Educational Services, Health Care, and Public Administration, while Manufacturing, Wholesale and Retail Trade, Transportation, and Professional Services saw declines. Most new jobs were full-time, and the unemployment rate fell from 5.7% to 5.1%. Regional employment gains were led by Regina-Moose Mountain with the lowest unemployment in Swift Current-Moose Jaw. Housing activity surged with a 47.6% increase in year-to-date housing starts and a 6.8% rise in housing prices. Inflation moderated to 1.7%, mainly from food, shelter, and recreation costs. Building permits rose 33.6%, buoyed by residential and institutional growth despite a small drop in industrial permits. Exports declined 3.9% overall, although some sectors such as electronic equipment and transportation parts grew strongly. Retail trade expanded 5.6%, with most categories up except beer, wine, and liquor stores. Manufacturing sales dropped 6.8%, while new motor vehicle sales rose 19.1%. Wholesale trade grew 4.2%, and average weekly earnings increased 4.8%. Restaurant receipts grew 7.1%. Population reached a record 1,266,959 in Q3 2025, driven by international immigration despite ongoing net inter-provincial outmigration. Meanwhile, the Bank of Canada cut its key interest rate by 25 basis points to 2.5% in September to support the softening national labor market and economic risks, signaling potential further easing ahead. Saskatchewan’s economy is poised for moderate growth supported by strong labor markets, housing, and construction sectors, though challenges remain in trade-exposed industries

The broad economic growth in Saskatchewan in 2025 presents several positive implications for businesses. The rise in total employment by 2.7%, dominated by full-time jobs across sectors like agriculture, construction, health care, and education, signals a strengthening labor market that supports workforce availability and consumer spending. The surge in housing activity, including a nearly 48% increase in housing starts and a 6.8% rise in prices, indicates increased demand for construction, building materials, real estate, and related services, creating robust opportunities for those sectors. Meanwhile, retail trade and restaurant receipts growth reflect expanding consumer confidence and spending, beneficial for local businesses. Although manufacturing and some trade-exposed industries face challenges, declining exports and lower manufacturing sales highlight potential areas for diversification and innovation. The modest inflation rate and steady increases in average weekly earnings enhance purchasing power, fostering stronger local demand. Additionally, the Bank of Canada's recent interest rate cut lowers borrowing costs, encouraging business investment and expansion. Population growth fueled by international immigration expands the consumer base despite inter-provincial outmigration. Overall, Saskatchewan businesses have favorable conditions for growth, especially in construction, services, and retail, but should remain mindful of external trade risks and sector-specific headwinds. Strategic focus on workforce development, innovation, and market diversification will be key to capitalizing on these trends and sustaining economic momentum.