Layoffs and economic uncertainty notwithstanding, the Bay Area is expected to enjoy economic growth of 4.8% this year, fueled by what remains strong performance from the tech sector, according to new research from the Kenan Institute of Private Enterprise.
The region’s tech employment continues to grow, if more slowly, Cohen said. But he cautions that 2023’s economic growth projections, coming out in January, could see a change in rankings. The Bay Area is getting a lift from the adoption of technology to improve corporate performance and make remote work easier, but the sector is also taking a hit this year by the slowing economy.
As the institute seeks to provide timely insights into regional economic data, the Kenan Institute sometimes looks at a region more broadly than others do. For instance, Cohen said the Bay Area in his report stretches from Santa Rosa to Santa Cruz and east to Merced and Modesto, adding that the Central Valley cities are in the Bay Area’s economic orbit.