Canada's gross domestic product (GDP) edged up by 0.2 per cent in February, with preliminary figures suggesting the economy grew in the first quarter of 2026, reversing a contraction that ended 2025. The new data, released by Statistics Canada on Thursday, showed that February's growth was primarily driven by goods-producing industries, which expanded by 0.4 per cent.
Preliminary estimates for the first quarter of 2026 indicate that the economy grew by 0.4 per cent, signaling a rebound after a challenging end to the previous year. Initial estimates for March also suggest that GDP was essentially unchanged for the month, with increases in wholesale trade as well as transportation and warehousing sectors offset by decreases in retail and resource extraction.
However, Statistics Canada cautioned that these figures could change, and an official estimate for the first quarter is expected in late May. The manufacturing sector regained momentum, contributing significantly to the overall growth. The data highlights a cautious optimism for the Canadian economy as it navigates global uncertainties.
More details are expected to emerge as the agency finalizes its calculations for the quarter. Analysts will be watching closely to see if the positive trend continues in the coming months.
