Nathan Janzen

The Canadian economy stayed flat in May, with growth slowing down as businesses continue to face supply constraints and rising interest rates, though economists say the current cycle of interest rate increases is expected to continue into the fall.

The Canadian jobs market was fairly flat in December, with Ontario the source of most growth and youth jobs back at pre-pandemic levels. But the survey data was taken before the rapid spread of the Omicron variant of COVID-19 led to school closures and renewed restrictions.

The Canadian economy sprinted to the finish line of 2020 with nearly double-digit growth in the fourth quarter, ending its worst year on record on a strong note that has continued into the start of 2021.

The full impact of sweeping economic lockdowns meant to slow the spread of COVID-19 came into sharper view, with new figures showing Canada saw the largest monthly drop on record in April as the country came to a near standstill.