Slump recovery? Top bank projects improvement for Saskatchewan economy

One of the country's top banks is expecting Saskatchewan's economy to improve this year. 

The Royal Bank of Canada believes the province's economy will grow by 1.8 per cent this year, after shrinking the previous two years. 

The bank is crediting rising oil prices for a projected recovery in energy mining, helping lead to a two per cent increase in overall mining activity this year. 

However, it's not expecting a similar turnaround for other provincial mining sectors.

Potash is expected to decrease by a further three per cent, which is a lesser blow than the six per cent drop in 2016. 

The situation is also expected to improve for farms this year, with RBC projecting closer-to-average weather.

Last year, heavy rains impacted the quality of crops, leading to lower incomes for many farmers despite a higher volume of wheat, canola and barley being harvested.