Mining led 2020 GDP growth in Nunavut and Yukon
(Kitco News) - According to the Statistics Canada's "Gross domestic product by industry: Provinces and territories, 2020" reports released today, Nunavut and Yukon were only two Canadian jurisdictions to show GDP growth in 2020 with mining sector contributed the most to this increase.
According to the report, GDP in Yukon grew 1.1% in 2020, following 0.7% growth in 2019. Goods-producing industries advanced 25.7%, almost entirely as a result of large increases in gold and silver mining (+121.9%)—with the ramp-up of production at the Victoria Eagle gold mine—and copper, nickel, lead and zinc ore mining (+325.8%) as the Minto mine re-opened in 2019. Support activities for mining jumped 67.9% on higher mineral prices.
In Nunavut, GDP increased 3.5% in 2020. Gold and silver ore mining grew 23.2%, as two new mines completed their first full year of production, and iron ore mining advanced 34.4%. Higher mineral prices led to a 19.7% increase in support activities for mining.
Overall, real gross GDP fell in every province and the Northwest Territories in 2020 and rose in Yukon and Nunavut after the World Health Organization declared COVID-19 a pandemic on March 11.
For most provinces, the economic contraction in 2020 was the most severe observed in 40 years, Statistics Canada said.