The Canadian economy just got another warning—businesses are closing at one of the fastest rates on record. Statistics Canada (StatCan) data shows business closures surged in January. The sharp uptick in closures has left the country with the fewest businesses in over two years. Canada Saw 1 In 20 Businesses Close Their Doors In JanuaryCanadian business closures.
The data reveals 46.9k businesses shuttered in January, up 4.5% (+2k) from last year. This marks the third-most closures since the start of the pandemic. The closure rate climbed to 5.0%, meaning 1 in 20 businesses shuttered in the month. The agency notes closures were broad-based, but one industry took a severe hit—Transportation & Warehousing. The segment represented nearly a third (32.1%) of all closures, an odd data point considering the same industry drove the latest real GDP gains. The business opening rate was unchanged at 4.9%, helping to offset net closures. Although it was close to the closure rate, don’t let that soften the impact. This still implies significant churn and lost productivity, which the total business count obfuscates. Canada Has The Fewest Businesses Operating Since 2023Canadian active businesses.
Canada hasn’t seen its active business count grow much in the past couple of years, but even the modest gain was wiped out. There were only 936.2k active businesses in January, down 0.2% (-2.0k) from last year. This marks the lowest number in the country since December 2023, rolling back more than two years of growth in a single month. The picture of Canada’s economic health is muddled these days. Concrete data points like business closures, insolvencies, and job vacancies are weakening. However, more abstract measures like real GDP that rely on inferred data and modelled deflators show growth continues to beat economists’ expectations. 来源链接：https://betterdwelling.com/canadian-business-closures-surge-1-in-20-shutter-in-a-month/ |
