Canadian Real GDP Increased in April

Statistics Canada (StatsCan) reported on Friday (6-28-24), that real gross domestic product (GDP) grew 0.3% in April, after being essentially unchanged in March. Both good-producing and service-producing industries posted 0.3% increases, contributing to growth in 15 of the 20 sectors during the month.

Wholesale trade, mining, quarrying, and oil and gas extraction and manufacturing were the largest contributors to growth in April after recording declines in the previous month. Following two consecutive monthly decreases, retail trade was also among the top drivers of growth in April, led by food and beverage retailers and gasoline stations, which rebounded from declines recorded in previous months.

The construction sector was down 0.4% in April, after recording in March its largest growth rate since October 2022. Residential building construction was the main source of the decline in the sector, contracting 2.3% in April 2024, which was its largest decline since May 2023. The decline in April 2024 reflected decreased activity in the construction of new single and multi-unit family homes and in home alterations and improvement. The subsector’s activity level in April was close to 24% below its peak observed in April 2021.

Advance information indicates that real GDP rose 0.1% in May. Increases in manufacturing, real estate and rental and leasing and finance and insurance were partially offset by decreases in retail trade and wholesale trade. Owing to its preliminary nature, this estimate will be updated on July 31, 2024, with the release of the official GDP by industry data for May.