Canada’s economy posted tepid growth of 0.2% in the fourth and final quarter of 2022, which was the slowest pace of growth since the second quarter of 2021.
However, despite a deceleration at the end of the year, Statistics Canada said that Canadian economic activity exceeded pre-pandemic 2019 levels last year as 19 of 20 industrial sectors posted gains.
The economy has now grown for six consecutive quarters, though at an increasingly slow pace.
In December, Canada’s gross domestic product (GDP), which measures the value of goods and services produced in the country, declined 0.1% following a 0.1% increase in November.
The December contraction was mainly due to a 0.6% monthly decline in goods-producing industries, said Statistics Canada. Service-producing industries remained unchanged during the month.
Preliminary data from Statistics Canada showed that the economy recovered in January of this year with 0.3% GDP growth, though that number is subject to revision.
Statistics Canada said household and government spending grew in the month of December, and that Canada’s trade with foreign nations remains strong. However, the construction and retail sectors posted declines in economic activity during December.
In all, 12 of 20 industrial sectors grew in December, said Statistics Canada.
