Canada’s Q1 GDP outperforms with 3.1% growth, April seen up 0.2%
2023.05.31 08:57
OTTAWA (Reuters) – Canada’s economy grew at an annualized rate of 3.1% in the first quarter, exceeding analysts’ expectations as well as the Bank of Canada’s projection, Statistics Canada data showed on Wednesday.
Real GDP was unchanged in March, and likely rose 0.2% in April, the statistics agency said.
Analysts surveyed by Reuters had forecast annualized growth of 2.5% in the quarter and a decline of 0.1% in March.
The increase was more robust than the Bank of Canada’s 2.3% growth projection, and could pressure the bank to hike interest rates after other data this month also showed the economy was hotter than anticipated.
The economy benefited from favorable international trade and household spending growth in the quarter ending in March, while slower inventory accumulations as well as housing investment decline were among moderating factors, Statscan said.
