Canada’s economy saw its steepest recorded decline in the second quarter amid the pandemic as non-essential businesses were forced to close down—slowing the economy, reports Global News.
Statistics Canada says that over the three months, real gross domestic product was contracted at 38.7 percent (annualized rate).
According to Refinitiv, a financial markets data firm, economists predicted a contraction of 39.6 percent (annualized rate) in the quarter.
Nearly all components used to calculate GDP were at their lowest from April to June—largely due to the lockdowns in April.
In May, the country's economic output rebounded by 4.8 percent and their was an increase in June of 6.5 percent.
A real GDP increase of three percent was predicted in the agency’s preliminary estimate.