The Quebec economy started the year 2022 still in a strong situation despite the apprehended effects of the Omicron wave of COVID-19, according to GDP data for January published Tuesday morning.
Posted at 10:58 a.m.
The 0.7% increase in real GDP (in constant dollars) in Quebec in January compared to the previous month greatly exceeded the 0.2% increase observed for Canada as a whole.
Measured over one year, Quebec’s GDP growth was at an annualized rate of 4.9% in January, compared to 3.5% for the Canadian economy as a whole.
“These results are clearly beyond expectations. In the context of the Omicron wave, the growth in economic activity in January is quite exceptional for Québec. The province even got a head start on Canada by starting the year off strong,” wrote Hélène Bégin, senior economist at Desjardins Group, in a note, in an analysis note obtained by The Press.
“The maintenance of restrictions (pandemic sanitary) limiting the reception capacity to 50% for businesses, as well as their closing on Sundays which was maintained until mid-January, did not cause too much damage to the economy”, observes Mr.me Begin to analyze January’s GDP data.
“Generalized strength in the goods industry more than offset the stability in services. However, the restaurant and entertainment sectors were once again hard hit by the prolonged restrictive measures. »
But after a better than expected first month of 2022, what prospects for the future?
“While a certain slowdown in the Quebec economy was expected at the start of 2022, the strong economic growth in January rather ensures a vigorous first quarter,” said the senior economist at Desjardins.
However, “this is only a postponement, since the current rise in interest rates should soon moderate the pace of real GDP in the country, and Quebec cannot escape it. »