30 August 2021 - Gross domestic product (GDP) of the OECD area still remains below pre-pandemic levels, despite increasing growth in the second quarter of 2021, by 1.6% from 0.6% in the previous quarter, according to provisional estimates.
For the Major Seven economies as a whole, GDP growth increased to 1.6% (from 0.4%) in the second quarter of 2021, but with strong variations across countries.
The United Kingdom recorded the strongest growth (4.8% from minus 1.6% in the previous quarter), followed by Italy (2.7% from 0.2% in the previous quarter). GDP also increased in the other Major Seven Economies, but to a lesser extent. In both the United States and Germany, GDP grew by 1.6%, compared with 1.5% and minus 2.0% respectively in the previous quarter. In France and Japan GDP grew by 0.9% and 0.3% respectively, after 0.0%, and minus 0.9% in the previous quarter. Canada recorded a growth rate of 0.6%, but as this was down from 1.4% in the previous quarter, it was the only Major Seven economy that recorded a decelerating growth rate in the second quarter.
In the euro area and the European Union GDP growth turned positive in the second quarter of 2021, to 2.0% and 1.9% respectively, after declines by (minus) 0.3% and (minus) 0.1% in the previous quarter.
When comparing economic activity in the second quarter of 2021 with pre-pandemic levels (Q4-2019), GDP still lags behind for the OECD area as a whole (minus 0.7%). Among the Major Seven economies, the United Kingdom experienced the largest gap (minus 4.4%), followed by Italy (minus 3.8%), France and Germany (both at minus 3.3%). The United States is the only Major Seven Economy that already returned to pre-pandemic levels in the second quarter of 2021, with GDP exceeding the pre-pandemic level by 0.8%.
Link to underlying data - Source: Quarterly National Accounts: Quarterly growth rates of real GDP