Canada’s economy eked out slight growth to start 2022, despite Omicron | CBC News

Canada’s financial system managed to eke out a slight growth to kick off 2022, as goods-producing industries continued to churn out development whilst most service sectors had been walloped by the Omicron variant of the coronavirus.

Statistics Canada reported that the nation’s gross home product expanded by 0.2 per cent in January. That is the eighth straight enhance in a row, after the information company revised December’s knowledge as much as a tiny 0.1 per cent enhance, from flat beforehand.

Output in goods-producing industries expanded by 0.8 per cent within the month, led by development. The service sector, in the meantime, was hit laborious by lockdowns and capability restrictions associated to limiting the unfold of COVID-19. 

Companies within the meals, lodging, arts, leisure and recreation sectors noticed their financial exercise decline by 10 per cent or extra in January as individuals stayed residence.

Whereas these kinds of in-person providers have borne the brunt of the financial ache for the reason that begin of the pandemic, the excellent news is that they appear to have rebounded in February and past.

Preliminary knowledge suggests the financial system grew by 0.8 per cent throughout that month, led by will increase in manufacturing, mining, quarrying, oil and fuel extraction, lodging and meals providers, and development.

“Regardless of the Omicron wave, the Canadian financial system was capable of maintain its foot on the fuel in January. And, by February, it was once more time to hit the accelerator,” economist Royce Mendes with Desjardins stated of the numbers.

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