Canada’s economy could grow by 6.1% this year as COVID-19 restrictions ease: OECD

Click to play video: 'Canada’s third COVID-19 wave creates ‘zigzag’ economy'
Canada’s third COVID-19 wave creates ‘zigzag’ economy
Canada's economy is zigzagging through the third COVID-19 wave. Statistics Canada says the country lost 207,000 jobs in April, reversing substantial progress made in March. Eric Sorensen looks at how unemployed Canadians are coping. – May 7, 2021

The Organization for Economic Co-operation and Development has upgraded its outlook for Canadian economic growth for this year.

The Paris-based think tank says it now expects the Canadian economy to grow by 6.1 per cent this year. The prediction is up from an estimate for growth of 4.7 per cent that the OECD made in March.

It says the rebound will be thanks to reduced COVID-19 restrictions in the second half of the year and external demand.

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The OECD says growth in Canada for 2022 is forecasted at 3.8 per cent compared with a March estimate of four per cent.

Click to play video: 'Could COVID-19 vaccine passports kick start Canadian economy?'
Could COVID-19 vaccine passports kick start Canadian economy?

The improved outlook for Canada came as the OECD forecast global output would rise 5.8 per cent this year, up from its forecast of 4.8 per cent in December.

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Statistics Canada is expected to release Canadian gross domestic product figures for the first quarter on Tuesday.

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