Memorial University is a significant contributor to the local, provincial and national economy, according to a new report from KPMG.
The study considered the impact of spending by the university itself, employee and student spending, the impact of visitors to Memorial and the ripple effect of additional income earned by alumni due to their Memorial degrees.
Memorial adds approximately $627 million to Newfoundland and Labrador’s economy each year and supports 9,922 jobs throughout the province.
This includes the following:
- Operational activities that contribute, on average, $293 million to the provincial GDP and support 5,401 jobs;
- Capital expenditures that contribute, on average, $67 million to the provincial GDP and support 574 jobs;
- Estimated incremental impact as a result of student expenditures that contribute $210 million to the provincial GDP, and support 3,095 jobs; and,
- Average local spending by out-of-town visitors that contribute $55 million to the provincial GDP and support 850 jobs.
Based on the information Memorial collects, approximately 66,600 alumni live in Newfoundland and Labrador.
KPMG calculated that this group of alumni have earned $1.37 billion in additional income annually due to their degree(s) from Memorial. The ripple effect of this additional income on the economy is $2.06 billion in GDP impact.
Economic impact was determined using the Statistics Canada input-output model.
This model does not include the downstream effects of research, knowledge creation and transfer — all of which benefit other industries in the province, and beyond, such as technology, mining, oil and gas, tourism and health care.
Further to the quantitative measures, KPMG identified four themes of socio-economic impact:
- Memorial students, programs and alumni are drivers of the economic, social and cultural development of communities across the province;
- Memorial is an incubator for unique research that enables industry and addresses social accountability, both at home and around the world;
- Memorial is a hub connecting people, ideas and resources critical for success; and,
- Memorial is leading approaches to Indigenous reconciliation, both on campus and in communities.
President Vianne Timmons says the report confirms that Memorial is contributing to an economically prosperous, socially resilient and culturally vibrant Newfoundland and Labrador — a key tenet of the university’s strategic plan.
“Memorial is deeply committed to the communities of this province. This report shows the economic benefits, as well as the socio-economic impacts, of the university that can be seen throughout Newfoundland and Labrador,” she said.
“Memorial creates jobs, supports local businesses, educates knowledgeable graduates, and fosters innovation and entrepreneurship that will continue to help the economy grow and diversify.”