Real gross domestic product (GDP) in Canada decreased 0.1 per cent in 1Q, following growth of 0.6 per cent in 4Q 2014. This was the first negative growth rate of real GDP since 2Q 2011. On a monthly basis, real GDP by industry fell 0.2 per cent in March.
Final domestic demand fell 0.4 per cent after increasing 0.4 per cent in the previous quarter.
Business gross capital formation was down 2.5 per cent, driven by a 4.1 per cent decrease in non-residential structures and machinery and equipment. On the other hand, business investment in residential structures was up 1 per cent, led by an increase in new home construction.
Business gross fixed capital formation in non-residential structures and machinery and equipment fell 4.1 per cent in 1Q, the largest decrease since 2Q 2009. Business investment in non-residential structures declined 5.3 per cent, driven by decreased outlays on engineering structures, down 6.4 per cent.