The sun shone on Saskatchewan in 2022, but some clouds remain

Saskatchewan is world-famous for growing things. In 2022, it led Canada in economic growth.

Following three straight years of economic contraction, Saskatchewan’s economy grew at the fastest pace nationally, rising 5.7% from one year earlier. Despite the year-over-year increase, Saskatchewan was one of two provinces where economic activity remained below pre-pandemic levels.

The sun shone…

Saskatchewan farmers and workers generated 10.3% more output from goods-producing industries than they did one year earlier.

Saskatchewan crop farmers had their highest rate of harvest growth since 2004, which helped raise economic activity in the agriculture, forestry, fishing and hunting sector by 45.6% from one year earlier.

As the Russian invasion of Ukraine spiked the price of potash, Saskatchewan's increased production of the mineral (+5.3%) was the main contributor to the 4.0% growth in the mining, quarrying and oil extraction sector in 2022. Higher oil and gas prices also spurred increased output from the oil and gas extraction (except oil sands) industry.

Unemployment in Saskatchewan of 4.7% was below the national average (5.3%) and, perhaps more importantly, a full percentage point lower than its friendly Prairie rival Alberta (5.8%).

The average annual income in Saskatchewan was below the national average of $54,000, but residents were making on average $1,500 more than they were in 2019, pocketing $52,100 in 2021.

Saskatchewan has the highest level of life satisfaction in Western Canada

While the economic life of Saskatchewan was looking up in 2022, so too was the mental health of its residents.

We asked Canadians to assess their level of life satisfaction from 0 to 10 in the fourth quarter of 2022.

Almost half (47%) of Saskatchewanians ranked their life satisfaction at 8, 9 or 10, the highest level of satisfaction in Western Canada, while 32% ranked their level of life satisfaction at 6 or 7.

… but some clouds remain

Activity in the construction sector was up 8.1%, the first increase in eight years, but remained below pre-pandemic levels.

While accommodation and food services (+12.2%) and arts, entertainment and recreation (+20.5%) were busier in 2022 than one year earlier, both also remained below pre-pandemic levels.

Indeed, Saskatchewan’s economy was one of two provincial economies yet to return to pre-pandemic levels in 2022, the other being Newfoundland and Labrador. But that is a story for another day.