OTTAWA: Canada’s economy grew by a greater-than-expected 0.3percent in May, pushed up in part by strength in the mining, quarrying and oil and gas sector, official data indicated on Friday.
Economists polled by Reuters had expected the economy to expand by 0.2percent in May. It revised April’s growth up to 0.6percent from 0.5percent, the highest month-on-month gain since July 2025. Statistics Canada said goods-producing industries expanded 0.6percent while services-producing industries posted a 0.2percent gain. The mining, quarrying, and oil and gas extraction sector expanded 1.0percent in May.
The oil and gas extraction subsector rose 0.7percent in May, due to higher oil sands extraction. In a flash estimate, Statscan said June GDP looked to have increased by 0.2percent. This indicates annualized second quarter growth of 3.4percent, significantly higher than the Bank of Canada’s July 15 forecast of 2.5percent, and the highest annualized quarterly increase since the 4.3percent seen in the first three months of 2023.
Comments