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Canada’s “modest” GDP underscores its economic strength: Flaherty

Pace of growth in line with Bank of Canada's projection of 1.9%.


September 4, 2012
by The Canadian Press

TORONTO—Finance Minister Jim Flaherty says while the latest economic growth numbers are “modest”, they underscore Canada’s strong position on the global economic stage.

Flaherty says Canada continues to have the strongest economic growth among the G7 countries in the wake of the global recession.

Statistics Canada reported today that the economy grew at an annual rate of 1.8% in the second quarter.

The pace of growth was slightly higher than economists’ expectations and nearly in line with the Bank of Canada projection for 1.9%.

But it’s the third quarter in a row for sluggish economic performance below 2%.

Statistics Canada says investment in plant and equipment grew at its fastest pace since this time last year and non-farm inventories surged during between April and June.

Flaherty says he was particularly encouraged by investment growth, adding it’s something he’d like to see more of.

©The Canadian Press