Canada Economy - May 2015

Source: OPEC 5/28/2015, Location: North America

In Canada, the slowing US economy and the declining income from the energy sector have also been felt. After strong growth of industrial production in January at 3.7% y-oy, the latest number for February was less buoyant at only 1.7% y-o-y. Given the challenges in the resource sector, mining, oil and gas extraction growth decelerated to 0.8% in February after 2.1% y-o-y in January and compared to an average increase of 6.0% in 2014. The PMI for manufacturing in January points at a slow-down and stands barely unchanged in April at 49. Given this latest weakness, the 2015 GDP growth forecast for Canada has been lowered to 2.1% from the previous 2.3%.


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