Watchdog Calls CETA Economic Boon to Canada

Canada’s budget watchdog says the new free-trade pact with Europe shall produce "modest" economic gains working out to an average annual income boost of $220 for each of us.

The parliamentary budget officer released a study Tuesday that estimates the trade deal -- if put into effect in 2015 -- would have lifted Canada’s overall economic output in 2015 by 0.4% or $7.9 billion.

The report found Canadian exports of goods to the European Union would have increased $4 billion, services would have been up $2.2 billion and investment would have grown by $3.1 billion.

But the PBO report also noted that Canada boasts a $2-trillion economy. The PBO based its analysis on 2015 because that year was the most recent one for which a complete set of economic data was available.