Following a decisive vote favoring Alberta’s continued presence within Canada, business executives are expressing relief, asserting that the outcome of the provincial referendum will enhance certainty for investors and positively impact the nation’s economy.
“This is an enormous relief,” remarked Deborah Yedlin, president and CEO of the Calgary Chamber of Commerce.
“The decision to remain part of Canada establishes much-needed certainty, allowing us to attract investments that will benefit not only Alberta but the entire country.”
On Monday, Albertans cast their votes on 10 different questions, one of which inquired whether they wished for the province to stay in Canada or prefer a binding referendum on separation.
While ballots are still being counted, initial results indicate that with 1.8 million votes reported 12 hours post-closure of polls, the pro-remain faction is leading with 75.5 percent, prompting CBC News to project that Albertans have opted to stay within Canada.
For some, economic difficulties in the province were partially responsible for the desire to separate. The 2014 decline in oil prices severely impacted this key energy-producing province, with proponents of separation arguing that independence would yield greater advantages from the oil sector without the burden of equalization payments to the rest of Canada.
Deborah Yedlin, president and CEO of the Calgary Chamber of Commerce, states that the vote’s outcome is a significant relief for business owners and investors, both locally and internationally. (Joe Fiorino/CBC)
However, numerous business leaders expressed their backing for the remain option prior to the referendum. Both the Canadian Chamber of Commerce and the Alberta Chamber of Commerce cautioned in July that a yes vote in favor of a future binding referendum could initiate “another cycle of uncertainty” for business owners, potentially causing prospective investors to adopt a wait-and-see approach until clarity was achieved regarding the province’s status.
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Albertans vote to remain in Canada, CBC News projects
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Economic frustration fuels Alberta separatism — and these 4 charts suggest why
A survey conducted by the Calgary Chamber of Commerce indicated that nearly half of those surveyed were willing to move their businesses out of the province if Albertans chose to initiate the formal process of separation. Additionally, around 60 percent of respondents in the same survey believed that the separatist sentiment was already negatively impacting their businesses.
As the vote occurred amid widespread global uncertainty and a deteriorating trade relationship with the U.S., Yedlin noted that the referendum question only “compounded the challenges” facing business leaders.
Avik Dey, CEO of Capital Power, stated that he was not delaying any business decisions due to the referendum; however, he acknowledged that the separation issue did create some unease among investors from outside the province.
“This has definitely been somewhat of a cloud over us. I believe that cloud has lifted this morning,” Dey remarked.
Alberta is Canada’s wealthiest province, yet economic frustrations remain a significant factor driving the separation debate. For The National, CBC’s Ina Sidhu examines how the resource-rich province arrived at this juncture and the potential implications of independence for its economy.
Potential effects of ongoing separatist sentiments
Charles St-Arnaud, chief economist at Servus Credit Union based in Alberta, concurs that with the immediate uncertainty alleviated, investors who had been hesitant will likely return to “business as usual” following the vote.
Nonetheless, separatist advocates have pledged to continue their fight for an independent Alberta despite the referendum outcome. With about 25 percent still supporting a binding vote on separation, St-Arnaud suggests that the referendum may not signify the final word on the matter, which could prolong the uncertainty affecting businesses.
“The issue is how this diverts the focus of business leaders, policymakers, and government from establishing effective policies and making the right decisions,” St-Arnaud noted.
St-Arnaud, who experienced the 1995 Quebec referendum while living in Montreal, remarked that the independence discussions continued to linger in that province, adversely affecting business activities for years following the vote. He stated that whether the separatist dialogue in Alberta influences future investments will depend on its persistence in mainstream political discourse.
For those firmly in the secession camp of the Alberta referendum, there are many reasons to select Option 2, but few are more important than sending Ottawa a message. Power & Politics speaks with constitutional lawyer Keith Wilson, co-leader of the grassroots separatist political movement Let Alberta Decide and the Alberta Transition Council.
Candace Laing, president and CEO of the Canadian Chamber of Commerce, recognized the separatists’ concerns, which she emphasized need to be addressed to foster a robust and united Canadian economy moving forward.
“Alberta plays a vital role in ensuring economic stability and opportunities across Canada, and we must now focus on the essential work required to collaboratively create a stronger, resilient, and united economy from coast to coast,” Laing stated.
With Albertans having “clearly” indicated their preference to remain in Canada, Laing expressed optimism that this outcome would be perceived positively by business leaders and investors.
“Businesses, workers, and communities can now feel a greater sense of confidence following this result,” Laing concluded. “Let’s advance forward, united and stronger.”
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