Alberta's oil production cuts — aimed at shrinking a costly glut of Canadian crude — are now weighing on expectations for the province's economic growth in the year ahead. The Conference Board of Canada and Scotiabank Economics have both ratcheted back growth forecasts for Alberta's economy in light of the province's decision to impose oil output cuts. Alberta's curtailment strategy went into effect on Jan. 1, enforcing a temporary 8.7 per cent production cut, or roughly 325,000 barrels a day, in raw crude oil and bitumen. It came amid calls from some oil company CEOs for a mandatory cut that would reduce a regional crude glut. The backlog of oil was sinking oil prices and, according to some analysts, costing the economy tens of millions of dollars every day.

Source: CBC News January 22, 2019 22:41 UTC