Faster economic growth won't be sustained

Canada's economic growth rate has rebounded slightly after the disconcerting slowdown in the second half of last year. Growth remains overly dependent on unsustainable household borrowing, however, which is boosting consumption and residential construction. Unfortunately, we suspect those drivers of growth will fade over the next few quarters and, as yet, there are few signs that stronger growth in either exports or business investment will prevent GDP growth from slowing again.