Canadian industrial companies plan to reduce their spending on research and development this year as they anticipate a weak economy, a government survey showed.
Planned spending will decline 0.9 percent from 2013 to C$15.4 billion ($14.1 billion), Statistics Canada said from Ottawa today.
“Recovery from the 2008 economic downturn continues to be slow and business enterprises did not anticipate increasing R&D spending levels for 2014,” the agency said in its report.
Bank of Canada Governor Stephen Poloz is counting on rising exports and business investment to lead the economy back to full output over the next two years. He has said the reliance on consumer spending to lead the expansion isn’t sustainable.