WASHINGTON (Pakistan Point News / Sputnik - 29th March, 2023) Economists in the private sector predict that Canada will experience a slight recession in 2023 in addition to a 0.3% growth in real GDP, according to the Canadian 2023-24 Budget released on Wednesday.
"Private sector economists expect the Canadian economy to enter a shallow recession in 2023. With a peak-to-trough decline of just 0.4 percent, the contraction in real GDP is significantly smaller than during the 2008-09 recession," the statement said.
A shallower dip than previous recessions, the 2023 numbers are shored up by Canada's labor market, with unemployment rates expected to remain at historic lows, according to the statement.
"Real GDP growth is projected to decelerate from a strong 3.4 percent in 2022 to 0.3 percent in 2023," said the statement.
The real gross domestic product is expected to rise again in 2024 to 1.5%, and again in 2025 before dropping to 2.3% and 2.2% in 2025 and 2026 respectively, according to the statement.
