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Canada GDP Contracts by 0.2% in Q4
The Canadian GDP declined by 0.2% in the fourth quarter of 2025, following a rise of 0.6% in the previous period. The contraction was driven by a withdrawal of business inventories, as imports edged up (+0.3%) and exports rose (+1.5%). Increased capital investment was driven by government investment in weapons systems, supported by a substantial 45.9% annual rise in expenditures on these systems. Governments likewise increased investment in engineering structures, with notable contributions to GDP growth for the third consecutive year. Meanwhile, business capital investment edged down 0.1%. By contrast, both household consumption (+0.4%) and government capital investment increased, while inventory accumulation turned into withdrawals. On an annual basis, the Canadian GDP grew by 1.7% in 2025, slowing from the previous year’s pace and marking the weakest growth since 2020.
Published on 2026-02-27

Canadian Economy Rebounds in Q3
The Canadian GDP rose by 0.6% on quarter in the third quarter of 2025, following a revised 0.5% contraction in the previous period. The expansion was driven by a strengthening trade balance, as imports dropped and exports edged up. Increased capital investment was driven by government capital spending, as business investment was flat. Overall growth was dampened by declines in household and government final consumption expenditures as well as a slower accumulation of business inventory. On an annualized basis, the Canadian GDP grew by 2.6%, well above expectations of a 0.5% rise.
Published on 2025-11-28

Canadian Economy Rebounds in Q3
The Canadian GDP rose by 0.6% on quarter in the third quarter of 2025, following a revised 0.5% contraction in the previous period. The expansion was driven by a strengthening trade balance, as imports dropped (-2.2%) and exports edged up (+0.2%). Increased capital investment was driven by government capital spending (+2.9%), supported by a substantial 82.0% rise in expenditures on weapon systems. Governments likewise increased investment in non-residential structures, with notable growth in institutional buildings, including hospitals. Meanwhile, business capital investment was largely unchanged. By contrast, both household consumption (-0.1%) and government spending (-0.4%) decreased. On an annualized basis, the Canadian GDP grew by 2.6%, rebounding sharply from a revised 1.8% decline in Q2 and well above expectations of a 0.5% rise.
Published on 2025-11-28

Canadian Economy Rebounds in Q3
The Canadian GDP rose by 0.6% from the previous quarter in the third quarter of 2025, following a revised 0.5% contraction in the previous period. The expansion was driven by a strengthening trade balance, as imports dropped and exports edged up. Increased capital investment was driven by government capital spending, as business investment was flat. Overall growth was dampened by declines in household and government final consumption expenditures as well as a slower accumulation of business inventory.
Published on 2025-11-28

Canadian Economy Rebounds in Q3
The Canadian GDP rose by 0.6% on quarter in the third quarter of 2025, following a revised 0.5% contraction in the previous period. The expansion was driven by a strengthening trade balance, as imports dropped (-2.2%) and exports edged up (+0.2%). Increased capital investment was driven by government capital spending, as business investment was flat. Overall growth was dampened by declines in household and government final consumption expenditures as well as a slower accumulation of business inventory. On an annualized basis, the Canadian GDP grew by 2.6%, rebounding sharply from a revised 1.8% decline in Q2 and well above expectations of a 0.5% rise.
Published on 2025-11-28

Canadian Economy Rebounds in Q3
The Canadian GDP rose by 0.6% on quarter in the third quarter of 2025, following a revised 0.5% contraction in the previous period. The expansion was driven by a strengthening trade balance, as imports dropped (-2.2%) and exports edged up (+0.2%). Increased capital investment was driven by government capital spending (+2.9%), supported by a substantial 82.0% rise in expenditures on weapon systems. Governments likewise increased investment in non-residential structures, with notable growth in institutional buildings, including hospitals. Meanwhile, business capital investment was largely unchanged. By contrast, both household consumption (-0.1%) and government spending (-0.4%) decreased, while inventory accumulation also slowed. On an annualized basis, the Canadian GDP grew by 2.6%, rebounding sharply from a revised 1.8% decline in Q2 and well above expectations of a 0.5% rise.
Published on 2025-11-28

Canadian Economy Rebounds in Q3
The Canadian GDP rose by 0.6% on quarter in the third quarter of 2025, following a revised 0.5% contraction in the previous period. The expansion was driven by a strengthening trade balance, as imports dropped and exports edged up. Increased capital investment was driven by government capital spending, as business investment was flat. Overall growth was dampened by declines in household and government final consumption expenditures as well as a slower accumulation of business inventory. On an annualized basis, the Canadian GDP grew by 2.6%, rebounding sharply from a revised 1.8% decline in Q2 and well above expectations of a 0.5% rise.
Published on 2025-11-28

Canadian Economy Rebounds in Q3
The Canadian GDP rose by 0.6% on quarter in the third quarter of 2025, following a revised 0.5% contraction in the previous period. The expansion was driven by a strengthening trade balance, as imports dropped and exports edged up. Increased capital investment was driven by government capital spending, as business investment was flat. Overall growth was dampened by declines in household and government final consumption expenditures as well as a slower accumulation of business inventory.
Published on 2025-11-28

Canadian Economy Rebounds in Q3
The Canadian GDP rose by 0.6% on quarter in the third quarter of 2025, following a revised 0.5% contraction in the previous period. The expansion was driven by a strengthening trade balance, as imports dropped (-2.2%) and exports edged up (+0.2%). Increased capital investment was driven by government capital spending (+2.9%), supported by a substantial 82.0% rise in expenditures on weapon systems. Governments likewise increased investment in non-residential structures, with notable growth in institutional buildings, including hospitals. Meanwhile, business capital investment was largely unchanged. Overall growth was dampened by declines in household and government final consumption expenditures as well as a slower accumulation of business inventory. On an annualized basis, the Canadian GDP grew by 2.6%, rebounding sharply from a revised 1.8% decline in Q2 and well above expectations of a 0.5% rise.
Published on 2025-11-28

Canada GDP Contracts in Q2
The Canadian GDP declined by 0.4% from the previous quarter in the second quarter of 2025, reversing the 0.5% gain from the earlier period. The quarter’s outcome reflected a sharp fall in exports and weaker business investment in machinery and equipment, partially offset by faster inventory accumulation and stronger household spending rather than broad-based domestic strength. Exports of goods and services declined 7.5%, while imports fell 1.3%. In the meantime, business non-farm inventories accumulated at a much faster pace, adding $30.1 billion to GDP. Still, household spending strengthened (1.1% vs 0.1% in Q1), even as corporate incomes and investment softened and federal revenues fell; government expenditures rose 1.8% in the quarter. On an annualized basis, the Canadian GDP contracted by 1.6%, well below expectations of a 0.6% contraction.
Published on 2025-08-29

Canada GDP Contracts in Q2
The Canadian GDP declined by 0.4% from the previous quarter in the second quarter of 2025, reversing the 0.5% gain from the earlier period. The quarter’s outcome reflected a sharp fall in exports and weaker business investment in machinery and equipment, partially offset by faster inventory accumulation and stronger household spending. Exports of goods and services declined 7.5%, while imports fell 1.3%. In the meantime, business non-farm inventories accumulated at a much faster pace, adding $30.1 billion to GDP. Still, household spending strengthened (1.1% vs 0.1% in Q1), even as corporate incomes and investment softened and federal revenues fell; government expenditures rose 1.8% in the quarter. On an annualized basis, the Canadian GDP contracted by 1.6%, well below expectations of a 0.6% contraction.
Published on 2025-08-29

Canada GDP Grows Solidly in Q1
The Canadian GDP expanded by 0.5% from the previous quarter in the first three months of 2025, maintaining the revised 0.5% growth rate from the earlier period and ahead of expectations. While the figures were better than those flagged by the BoC, the concentration of growth in net foreign demand and inventory accumulation was supported by firms front-running tariffs from the US instead of core economic strength. The exports of goods and services expanded by 1.6%, while imports rose by a softer 1.1%. In the meantime, business non-farm inventories were accumulated at a sharp pace after withdrawals in the end of last year, adding $8.7 billion to the GDP. Still, economic uncertainty drove household consumption to slow (0.3% vs 1.2% in Q4 2024), while government expenditure contracted for the first time in one year (-0.8% vs 2.3%). On an annualized basis, the Canadian GDP expanded by 2.2%, firmly above expectations of 1.7%.
Published on 2025-05-30

Canada GDP Grows at Faster 0.6% in Q4
The Canadian GDP rose by 0.6% over a quarter in the three months to December of 2024, following an upwardly revised 0.3% increase in the prior period. Growth was largely driven by a 1.4% rise in household final consumption expenditures, marking the strongest growth since Q2 2022, due to higher spending on new trucks, vans, and sport utility vehicles, as well as increased outlays on financial services, telecommunications, and other consumer goods.. Also, business investment in non-residential structures rose 0.7%, led by a 1.6% increase in building construction. Exports of goods and services surged 1.8%, rebounding from a 0.2% decline in the third quarter, driven by higher exports of unwrought gold, silver, platinum group metals, crude oil, bitumen, and passenger cars. Imports of goods and services rose 1.3%, reversing a 0.3% drop in the previous quarter, driven by purchases of metal ores and concentrates, pharmaceutical and medicines and other transportation equipment and parts.
Published on 2025-02-28

Canada GDP Expands by 0.3% in Q3
The Canadian GDP expanded by 0.3% from the earlier quarter in the three months to September of 2024, slowing from 0.5% expansions in the first two quarters of the year, in line with market expectations. Economic growth was carried by household consumption (0.9%) amid increases for new trucks, vans, and sport utility vehicles, and higher demand for financial services. Growth was also robust for government expenditure (1.1%) amid higher spending at all levels of government. These were offset by slowing non-farm inventory accumulations, largely seen in motor trades, and lower business capital investment due to less spending on machinery and equipment. Lastly, net domestic demand contributed negatively to the GDP as exports of goods and services contracted 0.3%, compared to a slower 0.1% drop in imports. In annualized terms, the Canadian economy expanded by 1% in the period.
Published on 2024-11-29

Canada GDP Grows at Faster 0.5% in Q2
The Canadian economy advanced by 0.5% in the second quarter of 2024, following a 0.4% rise in the previous period marking its second consecutive quarter of expansion. This growth was primarily driven by a 1.5% rise in government spending, fueled by higher wages, and a rebound in federal, provincial, and territorial government purchases of goods and services, which had previously declined. Business investment in machinery and equipment surged by 6.5%, led by increased spending on aircraft and transportation equipment. In contrast, household spending slowed to 0.2% in Q2, down from 0.9% in Q1, as higher spending on services (+0.5%) was offset by reduced purchases of goods (-0.2%). Exports and housing investment both declined, by 0.4% and 1.9% respectively. On an annualized basis, Canadian GDP grew by 2.1% in Q2, the highest since Q1 2023, accelerating from an upwardly revised 1.8% increase in the previous quarter and exceeding forecasts of 1.6%.
Published on 2024-08-30

Canada GDP Expands 0.4% in Q1
The Canadian economy expanded by 0.4% in the first quarter of 2024, accelerating from a downwardly revised flat reading in the previous period. This growth was primarily fueled by a 0.7% increase in household spending, with a notable 1.1% rise in spending on services such as telecommunications, rent, and air transport. Imports of goods and services saw a modest increase of 0.4%, while exports experienced a slightly higher rise of 0.5%. Business capital investment also climbed by 0.8%, driven mainly by increased spending on engineering structures, particularly in the oil and gas sector. On an annual basis, real GDP expanded by 1.7%, the highest rate since the first quarter of 2023, though it fell short of market expectations of a 2.2% growth.
Published on 2024-05-31

Canada GDP Returns to Growth in Q4
The Canadian economy expanded by 0.2% in the fourth quarter of 2023, recovering from a revised 0.1% contraction in the previous period, helped by higher exports. The country's exports of goods and services rebounded by 1.4%, largely due to crude oil and crude bitumen sales (+6.2%). Meanwhile, imports of goods and services declined by 0.4%. Additionally, household spending edged up by 0.2%, accelerating from a 0.1% rise in Q3. However, business investment dropped for the sixth time over the last seven quarters. On an annual basis, real GDP grew 1.1%, the third consecutive year of expansion but at the slowest pace since 2016 (2020 excluded), as the economy faced pressure from high-interest rates.
Published on 2024-02-29

Canadian GDP Unexpectedly Contracts in Q3
The Canadian GDP contracted by 0.3% in the third quarter of 2023, marking its first decline since the second quarter of 2021 and compared to a revised 0.3% expansion in the previous period. The result underscored that higher interest rates from the Bank of Canada are being transmitted to a greater extent to the Canadian economy, backtracking from robust growth earlier in the year. The Canadian GDP was pressured by a 1.3% decline in the exports of goods and services, largely due to a 25.4% slump in foreign sales of refined petroleum energy, while imports of goods and services eased by a slower 0.2%. Additionally, inventories accumulated at their slowest pace in two years amid the first inventory withdrawal for manufacturers in six quarters. In the meantime, household expenditures were broadly flat. On annualized terms, the Canadian GDP contracted by 1.1% in the period, a sharp contrast from market expectations of a 0.2% expansion.
Published on 2023-11-30

Canadian GDP Unexpectedly Stalls
The Canadian GDP stalled in the second quarter of 2023, missing market expectations of a 0.3% expansion and failing to build on the 0.6% growth rate in the previous three-month period. The result underscored that higher interest rates from the Bank of Canada are being transmitted at a greater extent to the Canadian economy, backtracking from robust growth earlier in the year. Investment in inventories fell by CAD 5.03 billion in the period, extending the CAD 8.18 billion drop from the earlier quarter, while housing investment shrank by 2.1% to consolidate the effect of higher borrowing costs and their pressure on mortgage demand. Additionally, imports of goods and services jumped by 0.5%, more than offsetting a 0.1% increase in exports to spark a negative growth contribution from net foreign demand. Meanwhile, final consumption expenditure advanced 0.2%. On an annualized basis, the Canadian GDP contracted by 0.2%, well below market expectations of a 1.2% expansion.
Published on 2023-09-01

Canada GDP Growth Stronger Than Expected
The Canadian economy grew by 0.8% in the first quarter of 2023, bouncing back from the stall in the previous period and well above market estimates of a 0.4% expansion. The result overshot the BoC’s forecast that growth would remain weak throughout the whole year, adding leeway for the resumption of its tightening cycle should inflation remain stubbornly elevated. Exports of goods and services advanced by 2.4%, accelerating from the 0.5% increase in Q4 amid a pickup in sales of automobiles, precious metals, and grains. Imports edged up at a slower 0.2% as higher imports of energy offset lower purchases of automobiles, precious metals, and clothing. In the meantime, household consumption expanded for both goods (1.5%) and services (1.3%), gaining traction after two quarters of minimal growth. On the other hand, housing (-3.9%) and business investments (-2.5%) both declined, largely due to higher interest rates from the BoC. On an annualized basis, the GDP expanded by 3.1%.
Published on 2023-05-31