Real gross domestic product (GDP) rose 0.8% in the first quarter of 2023 after being flat in the previous quarter, Statistics Canada reported on Wednesday.
Exports of goods and services grew by 2.4% in the first three months of the current year, after increasing by 0.5% in the fourth quarter of 2022.
Most of the recent growth has been driven by exports of passenger cars and light trucks. Meanwhile, imports of goods and services edged up 0.2% after falling 3.3% in the last quarter of 2022.
Statistics Canada adds that after two quarters of minimal growth, household spending increased on both goods and services in the first quarter of 2023.
The federal agency calculated that the Canadian economy grew at an annualized rate of 3.1% in the first quarter. The latest data shows that growth exceeded Statistics Canada’s own forecast of 2.5% for the quarter.
The economy’s continued resilience will likely spur talk of a possible rate hike, as the Bank of Canada is expected to make its next interest rate announcement next week.
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