Filed Under:Markets, Boomer Market

Senior spending to propel Canadian economy

According to new research from BMO

A senior economist with the Bank of Montreal (BMO) is not overly concerned that the wave of Baby Boomers on the cusp of becoming senior citizens will curtail spending when they retire, thus stymieing Canada’s recovering economy.

The economist, Sal Guatieri, when analyzing BMO’s latest data, found that although seniors spend less than middle-aged people, the sheer number of individuals becoming senior citizens in the next few years will outweigh any concerns pertaining to a dip in spending that hinders the rebounding economy.

BMO found that the incoming generation of seniors plan on increasing spending by 230 percent over the next two decades, a rate that is twice as fast as the rest of society.

The vast amount of Baby Boomers approaching retirement will serve as a profitable demographic to be tapped by retirement and insurance professionals, retailers, restaurateurs and hoteliers and others: BMO found that in a little over a decade, one-in-five shopping dollars, compared to one-in-seven today will be controlled by senior citizens.

With the senior population in Canada expected to grow by 69 percent by 2033, these retirees and pre retirees will be the force that keeps the country’s economic recovery moving forward.

“Future retirees will be the wealthiest ever, and are expected to live and work longer, travel more, and be more active than the current generation of seniors,” said Guatieri. 

Featured Video

Most Recent Videos

Behind the scenes with Vicki Gunvalson [VIDEO]


In this exclusive interview, Vicki Gunvalson shares how she built a $15 million a year annuity business by planning for...

Regulator: Market may need to reinvent LTCI


Cioppa says Maine's governor wants to spur the creation of better products.

Dementia: It's more than Alzheimer's


An association calls for policymakers to remember lesser-known neurodegenerative conditions.

Protesters Disrupt WellPoint Annual Meeting


Hecklers call for more disclosures of information about political contributions.

Related resources

More Resources


Power your business with up-to-the-minute insurance news, analysis, and best practices from LifeHealthPro Daily eNewsletter – FREE.

Power your business with LifeHealthPro Daily eNewsletter – FREE.

Enter a valid email address.
Nichole Morford

Nichole Morford
Managing Editor

Thank you for subscribing to LifeHealthPro Daily!

Check Out More eNewsletters Now! Close

Advertisement. Closing in 15 seconds.