Economics

Canada’s Economy Shrank Almost 12% in Historic April Contraction

  • GDP decline was broad-based, with all major sectors falling
  • Signs of recovery appear in May, with growth rebounding 3%
Shoppers carry purchases inside the Eaton Centre in Toronto, Ontario, Canada, on Wednesday, June 24, 2020. Canada's largest city has reopened restaurant patios, shops and swimming pools after officials determined that the Covid-19 virus is under control.Photographer: Cole Burston/Bloomberg
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Canada’s economy collapsed in April as the country recorded its biggest output drop on record in the first full month of lockdowns to curb the Covid-19 pandemic.

Gross domestic product shrank by 11.6%Bloomberg Terminal, extending the 7.5% decline in March, Statistics Canada said Tuesday in Ottawa. Before the crisis, the economy had never contracted more than 1.5% in any one month over the past sixty years.