The Canadian economy was likely a bit stronger in 2022 than previously thought, according to new data from Statistics Canada.
Provincial GDP data indicates the economy grew by 3.6% in 2022, the national statistical agency said Monday, as real GDP rose in every province except Newfoundland and output was above pre-pandemic levels in every region apart from Newfoundland, Saskatchewan and the Northwest Territories.
“Most jurisdictions saw a deceleration from the pandemic recovery-fueled growth observed in 2021,” StatsCan said.
“Services-producing industries were buoyed by the removal of remaining Covid-19-related restrictions at the same time as improved growing conditions supported a rebound in agriculture for many regions,” it added.
In a research note, BMO Economics said the data indicates that the previous reading of 3.4% for national GDP will undergo a modest upward revision.
“Most provinces benefited from the lifting of pandemic-era restrictions in 2022,” BMO said. “The Prairies received an added boost from a jump in resource prices following the invasion in Ukraine, and from a rebound in agricultural production following the previous year’s drought. Altogether, the Canadian economy looks to have grown at a stronger-than-expected pace last year.”