The Globe and Mail reports in its Monday edition that the oil slump is threatening to slice national retail sales growth this year by more than half from 2014.
The Globe's Marina Strauss writes that retail sales are expected to rise just 2 per cent to $515.32-billion in 2015 from the previous year compared with a 4.6-per-cent increase in 2014, pinched by oil troubles in Alberta and Saskatchewan, says a Colliers International forecast for Canada, to be released on Monday.
After several stellar years in those provinces, retailers ranging from generalist Canadian Tire to grocery giant Loblaw and home-improvement specialist Rona are feeling the effects of oil-squeezed regions, particularly those in in the province of Alberta.
The difficulties now risk hurting retailers' business in the crucial holiday season in those provinces, and nationally, for the total year, forcing merchants to count more heavily on spending in healthier provinces, including British Columbia and Ontario.
Chairman Galen Weston said last week that Loblaw is "seeing indications of an increasingly deteriorating economic environment" in Alberta.
He noted, however, Loblaw's discount stores can benefit from the downturn.
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