Analysts: Strong Colorado growth continues amid trade risks
DENVER (AP) — Analysts are increasing their projections for Colorado state government revenue but warn that trade tensions and any slowdown in the global economy could ease a robust multi-year growth trend.
A quarterly legislative economic forecast released Wednesday says general fund revenues for the fiscal year that begins July 1 could reach $13 billion. That’s nearly $390 million more than was forecast in March.
Strong income and sales tax revenues are driving the growth.
The report warns Colorado’s growth rate may be peaking and could moderate through 2021.
A separate forecast released by Gov. Jared Polis’ budget office says general fund revenue will increase by nearly 5% in fiscal year 2019-2020.
In a statement, Polis says that “misguided tariffs and trade wars” by the Trump administration could hurt Colorado’s agriculture and manufacturing.