As doubts mount over a possible recession hitting and the Federal Reserve prepares to lower interest rates for the first time in four years, the future of Arizona remains bright.
"Recession odds are low, but they're not zero," said Steve Wyett, a chief investment strategist at BOK Financial, during a Phoenix Greater Chamber of Commerce economic outlook event held on Sept. 13.
Arizona recovered from the COVID-19 pandemic faster than other states, and despite an anticipated slowdown in job and population growth, the Grand Canyon State is still expected to outpace the rest of the nation as major investments and jobs pour into the region.
Jobs in Arizona are expected to grow by 2.1% in 2025 and 1.9% in 2026, a decrease from 2.3% this year and 2.6% in 2023, according to new University of Arizona research. The unemployment rate is also estimated to increase to 4.4% in Arizona by 2026, a jump from 3.6% this year as more employers slow down hiring.
