1997 ECONOMIC REVIEW RELEASED

Released on December 19, 1997

Saskatchewan has experienced five straight years of strong economic

growth and that means more jobs for Saskatchewan people, Finance

Minister Eric Cline said.



Commenting on today's release of the province's 1997 Economic Review,

Cline noted that an average of 474,345 people were working in

Saskatchewan in the first eleven months of the year -- more than at

any time in history. "It is particularly satisfying to see most of

these are full time positions and that jobs for young people and women

are on the rise."



Among the positive indicators in the report:



retail sales increased 9.3 per cent during the first nine months

of 1997 compared to the same period last year;



wholesale trade rose 28.8 per cent;



the total value of manufacturing shipments increased

17.5 per cent; and,



the volume of crude oil production rose 10.7 per cent in the

first eight months of 1997 compared to the same period in 1996.





Figures for 1996 also show that:



personal disposable income was 12.8 per cent highter than in

1991;



personal income per capita rose to its highest level since 1986;



real Gross Domestic Product (GDP) per capita was 96 per cent of

the national level - the highest it has been since the government

began keeping records in 1964; and,



retail trade was 35 per cent above the level in 1991 while in

Alberta the increase was less than 22 per cent and nationally it

was less than 20 per cent.



"Our government has made a commitment to economic growth,

diversification and jobs and this report shows we are on the

right track," Cline said. "Ongoing fiscal stability and balanced

budgets are contributing to the confidence businesses need to

grow, invest and create opportunities."



The additional provincially-generated revenues the government

receives from a growing economy will continue to be offset by

reductions in federal Equalization payments, the minister said.



"The major story here is that more of our revenues are generated

by economic activity within Saskatchewan and less by reliance on

federal Equalization payments. I look forward to Saskatchewan

becoming fully independent of Equalization - but that day is

still some way off.



"What is important is that we continue to carefully manage our

financial resources - no matter what their source - in a way that

reflects our balanced approach to reducing debt, lowering taxes

and investing in the people of this province. The Economic

Review confirms that this approach is working. With a stable

financial situation, a vibrant, growing economy and more jobs

than ever, Saskatchewan people can look forward to a bright

future."



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For more information, contact:



Sandra Lodoen

Director of Communications

Saskatchewan Finance

Regina

Phone: (306)787-6578