Forecast: Value Added of Financial Services in Canada

From 2013 to 2023, the value added of financial services in Canada displayed a steady growth trajectory. Starting at CAD 120.59 billion in 2013, it increased to CAD 163.77 billion by 2023. Despite a minor decline in 2016, the sector consistently recovered and achieved positive year-on-year growth rates, highlighting resilience and expansion. The most recent two years showed moderate growth, with increases of 2.58% in 2022 and 2.49% in 2023. Over the last five years, the compound annual growth rate (CAGR) stood at 2.61%.

Looking forward from 2024, the value added is expected to continue growing, reaching CAD 183.08 billion by 2028. However, the forecasted 5-year CAGR declines slightly to 1.77%, suggesting a slowdown in the growth pace. Factors such as technological advancements, regulatory changes, and economic conditions will significantly influence future trends. A key area to watch is the impact of digital transformation on financial services, as well as the potential for new financial technologies to drive efficiency and innovation.