BIS central bankers’ speeches  3  from broader export sales). Higher commodity prices raise profits in the primary sector, which in turn stimulates production and investment in that sector, as well as greater spending more broadly on domestically produced goods and services.
However, since only 10 per cent of Canada’s exports go to emerging economies and our non-commodity export market share in the BRICS has been almost halved over the past decade, activity in Canada does not benefit to the same extent as in past commodity booms driven by U.S. growth.8 The current situation is more akin to a supply shock for our dominant trading partner, with higher commodity prices acting as a net brake on growth.