Investment
Total private and public capital expenditures in any given year. This includes expenditures on construction, machinery and equipment.
1 year5 year10 yearAll available

Investment ($ million)

Trend % CHANGE
Investment ($ million)
TREND: INC DEC NO CHG POS NEG
Investment ($ million)
TREND: INC DEC NO CHG POS NEG

Analysis

PUBLISHED - Feb 26, 2021
In 2020, non-residential capital investment in Alberta decreased by 16.3% from 2019 to $49.8B, primarily due to impact of the COVID-19 pandemic. Spending on machinery and equipment decreased by 11.4%, while construction spending decreased by 18.3%. Lower mining, quarrying, and oil and gas extraction investment, which fell 33.9% to $16.6B, was the largest contributor to the decrease in investment. Manufacturing investment decreased by 29.7% to $2.7B, primarily due to larger decreases in some manufacturing sub-industries, including non-metallic mineral products (down 39.5% to $47.4M), chemical products (down 38.5% to $1.2B), and food manufacturing (down 29.2% to $433.5M). However, there were sectors that displayed resiliency during the pandemic, such as investment into the construction sector (up 25.7% to $1.6B), information and cultural industries (up 8.5% to $1.4B), arts, entertainment and recreation (up 2.5% to $454.1M), utilities (up 2.1% to $3.7B), and wholesale trade (up 1.6% to $930.0M). In 2020, Alberta's per capita investment spending was $11,251, which was the highest per capita spending of all provinces and 72% higher than the Canadian average of $6,543 per capita. In 2021, investment in Alberta is forecasted to increase by 5.1% to $52.3B as the economy recovers from the COVID-19 pandemic. The largest sector, mining and oil and gas extraction, is expected to see capital expenditures increase by 3.0% to $17.1B. Overall, construction spending is expected to increase by 6.9%, while spending on machinery and equipment is expected to slightly increase by 0.9%. Investment in paper manufacturing is expected to see significant growth in 2021, increasing 71.6% to $152.4M. Increases are also expected in other notable sectors such as non-metallic mineral product manufacturing (up 67.3%), utilities (up 41.3%), support activities for oil and gas (up 37.6%), chemical products (up 24.1%), and arts, entertainment and recreation (up 24.0%). The largest notable declines include wood product manufacturing (down 33.5%), fabricated metals (down 33.2%), food manufacturing (down 31.6%), plastics and rubber products (down 28.9%), and accommodation and food services (down 23.2%).