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.