As Conservatives seize on signs of recession, economists say not so fast
Canada’s economy contracted by 0.1% in the first quarter of 2026 after a 1% decline in the previous quarter, sparking debate over whether the country has entered a recession. Conservative Leader Pierre Poilievre called for an emergency parliamentary debate, arguing Canadians are already feeling the effects of a downturn, while economists said it is too early to declare a recession. “Time will ultimately tell, but data on the ground don’t have the markings of a true recession in Canada,” Bank of Montreal senior economist Robert Kavcic said.
