What slowdown? Canada’s economy to top G7 on high oil, crop prices

Surging oil and wheat prices are allowing commodities exporter Canada to weather an economic storm threatening to tip many of its fellow G7 rich nations into recession.

Russia’s invasion of Ukraine in February stranded the region’s wheat stockpiles and triggered Western sanctions on Russian crude, sending commodity prices surging. Central banks jumped in to raise interest rates to stem inflation.

As a result, many countries face far lower growth this year than expected as they emerged from the coronavirus pandemic.

But as the world’s No.4 oil producer and No.4 wheat exporter, Canada’s fortunes are following a different trajectory altogether. Commodities and agriculture account for about 10% of its economy.