OTTAWA - The Bank of Canada is declaring the recession essentially over in Canada.
The central bank says the economy will expand by 1.3 per cent during the summer months after three straight quarters of sharp contraction.
The new forecast puts Canada at the front of the line of countries that are coming out of what economists have called the worst global recession since the Second World War.
The central bank predicts Canada's rebound will more than double that of the United States next year with a projected growth of three per cent, as opposed to 1.4 per cent south of the border.
That's because Canadian consumers are more confident of future conditions and better positioned to return to spending.
But the U.S. economy is also in a healing phase, the bank adds, and that will revive Canada's export sector, particularly in autos and forestry.
For more, and local reaction to this story, see Friday's Daily Herald.
