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- Canada’s economy expands 1.4 percent q-o-q in Q1
Canada’s economy expands 1.4 percent q-o-q in Q1
Statistics
Canada announced on Tuesday that the country’s gross domestic product (GDP) grew
1.1 percent m-o-m in March after a revised 0.4 m-o-m advance in February
(originally an increase of 0.4 percent m-o-m).
That
was slightly above economists’ forecast for a growth of 1.0 percent m-o-m.
In
the first quarter of 2021, the Canadian GDP grew 1.4 percent q-o-q, following a
revised 2.2 percent q-o-q gain in the fourth quarter of 2020 (originally a 2.3
percent q-o-q advance).
According
to the report, the q-o-q increase in GDP reflected the continued strength of
the economy, influenced by favourable mortgage rates, continued government
transfers to households and businesses, and an improved labour market. These
factors boosted the demand for housing investment, while rising input costs
heightened construction costs.
Expressed
at an annualized rate, Canada’s GDP expanded 5.6 percent in the first quarter
after a revised 9.3 percent jump in the previous quarter (originally a 9.6
percent surge). This was
worse than economists’ forecast of a 6.7 percent increase.
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