Canada’s economy expanded at an annualized rate of 2.6% in the fourth quarter of 2024, exceeding the anticipated 1.8% growth. This robust performance was driven by increases in consumer spending, business investments, and exports. Household spending rose by 1.4%, marking the strongest growth since Q2 2022, with notable contributions from new vehicle purchases and financial services. Exports grew by 1.8%, led by unwrought gold, crude oil, and passenger vehicles, while business investments in machinery and equipment increased by 0.7%. The Bank of Canada’s interest rate cuts, totaling 200 basis points since mid-2024, have played a role in stimulating economic activity. However, potential U.S. trade tariffs pose a risk to future growth, prompting the central bank to carefully consider its monetary policy stanc
Canada’s Economy Surpasses Expectations with 2.6% Annualized Growth in Q4 2024
