Statistics Canada’s offices astatine Tunny’s Pasture successful Ottawa are shown, March 8, 2019. (The Canadian Press/Justin Tang)
OTTAWA—The economy grew astatine an yearly complaint of 5.4 percent successful the 3rd 4th of this twelvemonth arsenic COVID-19 restrictions eased and household spending rose, Statistics Canada said Tuesday.
The effect is simply a turnaround for an system that shrank successful the 2nd quarter, and outpaced economists’ expectations for maturation successful existent gross home merchandise betwixt July and September.
Statistics Canada said the maturation successful household depletion for the 4th was 1 of the largest connected grounds and outpaced the maturation successful disposable income, dropping the savings complaint to 11 percent from 14 percent successful the 2nd quarter.
Money went into high-contact services similar restaurants and hotels that were the largest contributors to the quarterly gain, arsenic restrictions eased and Canadians went backmost to much mean spending patterns.
The 4th ended with the system edging up by 0.1 percent successful September.
The bureau besides said preliminary information suggests the system grew by 0.8 percent successful October to commencement the last 4th of the year.
Statistics Canada said that with that estimate, full economical enactment was astir 0.5 percent beneath the pre-pandemic level recorded successful February 2020.
CIBC main economist Avery Shenfeld wrote successful a enactment that the results were a invited economical surprise, but whitethorn beryllium overshadowed by concerns of the caller Omicron variant of COVID-19.
He said the variant could airs a menace to the system successful the last 4th and beyond.
“The attraction successful upcoming days volition inactive beryllium connected however the Omicron variant, should it beryllium to beryllium vaccine resistant, mightiness acceptable backmost the timing of the adjacent limb up for economical activity,” Shenfeld wrote.