GDP grows in May after unprecedented decline due to COVID-19
Posted July 31, 2020 5:36 am.
Last Updated July 31, 2020 9:00 am.
This article is more than 5 years old.
OTTAWA (NEWS 1130) – The GDP shows Canada’s economy is starting to come back after taking a massive hit at the height of the coronavirus pandemic.
The real gross domestic product grew 4.5 per cent in May as provinces and territories started to reopen sectors of their economy following COVID-19 shutdowns, Statistics Canada says.
The national data agency says rebounds in May were seen across multiple industries with the easing of COVID-19 restrictions, including retail trade that registered a 16.4 per cent bump to mark its largest monthly increase since comparable readings began in 1961.
In a flash estimate for June, the agency says the economy continued to grow at an annualized rate of 5 per cent.
#Breaking Canada GDP rebounds 4.5% in May from April (est. up 3.5%) but still down 13.8% year-over year.
June GDP flash estimate up 5%. Source: Stats Canada— Mike Eppel (@eppman) July 31, 2020
Despite the two months of growth after two months of negative readings, Statistics Canada’s preliminary estimate is that economic output contracted by 12 per cent in the second quarter.
March and April saw unprecedented declines when emergency measures to slow the spread of the coronavirus were brought in.
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