Canadian economy takes historic plunge with biggest drop in history
Canada's economy plunged to its lowest monthly levels since record-keeping began in 1961.
In a new report, Statistics Canada revealed that all 20 sectors of the Canadian economy were down in April as the country marked its first full month of COVID-19 measures.
Real gross domestic product (GDP) dropped by 11.6 per cent in April, following a 7.5 per cent decline in March
The economy was 18.2 per cent below its February level, the month before COVID-19 measures were first introduced.
The automotive industry was one of the hardest-hit sectors, with the output of motor vehicles falling by a whopping 97.7 per cent.
With borders closing and tourism grinding to a halt, accommodation services dropped by 45.7 per cent.
As many bars and restaurants switched to take out or completely closed their doors, the industry plunged by 40.8 per cent.
The arts and entertainment sector saw a decline of 25.6 per cent, as theatres shuttered and sports games were postponed or called off.
The construction sector also fell by 22.9 per cent.
While food manufacturing dropped 12.8 per cent in April, Statistics Canada noted an increase of 17.3 per cent from online shopping output, with many people switching to apps and websites to purchase their goods.
It's not all bad news, however.
Preliminary information indicates a three per cent increase in real GDP for May, as output across several industrial sectors —including manufacturing, retail, wholesale and health — increased.
This estimate will be revised on July 31, with the release of the official monthly GDP for May.
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