Global economic slowdown is affecting growth, says Canadian PM

Global economic slowdown is affecting growth, says Canadian PMCanada's Prime Minister Stephen Harper has said recently that a global economic slowdown is hindering economic growth in Canada.

While speaking at an event in Cambridge, Ontario, the Prime Minster pointed out that the slow growth in the global economy is affecting growth in the country. He said that global slowdown is having a fiscal impact on the country and also the pace of job creation.

"There has been a general slowing of the global economy over the past half year so it is obviously a concern to us," he said.

Slower growth is affecting federal fiscal position. Estimates shows that the budget deficit of the country is rising and that for two years combined will be $10 billion higher than earlier believed. The total unemployment stands at 7.1 per cent of the working population, which means that there are about 1.4 million people in Canada without jobs.

The International Monetary Fund said that Canada's economy is expected to grow by about 1.8 per cent this year and 2.3 per cent in 2014, which is lower than earlier estimated by the agency. Central bank governor Mark Carney said that the slowdown in Canada is mainly due to lower demand for exports and difficult business investment.