Macro - Country Economic Forecasts - Canada

We forecast GDP growth of 1.5% in 2025 and 1.7% in 2026, unchanged from last month. Looser financial conditions and temporary fiscal stimulus will support the economy in early 2025. But a shrinking population, US tariffs, and trade policy uncertainty will also drag on growth.


Canada: Policy shocks to buffet economy as financial conditions ease
Forecast overview
Recent developments
Short-term outlook
Key drivers of our short-term forecast
Economic risk
Economic risk evaluation
Risk warnings
What to watch out for
Exposure to key global risks
Long-term prospects
Background
Economic development
Structure of the economy
Balance of payments and structure of trade
Policy
Politics

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