Canada to avoid recession in 2025; economist predicts ‘firehose of monetary and fiscal policy support’

By Jeff Lagerquist – Yahoo!finance

Canada’s economy is expected to dodge a potential recession this year, after grinding to a halt in the first half of 2025. That’s according to economists calling for tepid growth amid persistent uncertainty on the future of Canada-U.S. trade.

Deloitte Canada chief economist Dawn Desjardins calls for real GDP to gain 1.3 per cent this year and 1.7 per cent in 2026, in her firm’s fall economic outlook published on Monday. That’s slightly more optimistic than her forecasts in June.