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Economic news
30.05.2025

Canada’s economy grows 0.5 per cent q-o-q in Q1 2025

Statistics Canada informed on Friday that the country’s gross domestic product (GDP) grew 0.1 per cent m-o-m in March after an unrevised 0.2 per cent m-o-m decline in February. This was in line with economists’ expectations.

In the first quarter of 2025, the Canadian GDP increased 0.5 per cent q-o-q, following a downwardly revised 0.5 per cent q-o-q growth (from +0.6 per cent q-o-q) in the fourth quarter of 2024. This represented the sixth quarterly advance in real GDP in a row.

According to the report, the GDP’s first-quarter advance was driven by exports of goods and accumulations of business non-farm inventories. Meanwhile, higher imports and weak residential structure resale activity moderated the overall growth in the reviewed period. 

Expressed at an annualised rate, Canada’s GDP expanded 2.2 per cent in the first quarter of 2025 after a downwardly revised 2.1 per cent rise (from +2.6 per cent) in the previous quarter. This exceeded economists’ estimate of a 1.7 per cent y-o-y increase.

Also, Statistics Canada said its preliminary data indicates that real GDP edged up 0.1 per cent m-o-m in April.

 

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