On Friday, the Canadian economy sank by as much as 8 per cent, the largest quarterly loss since 2011.
The national unemployment rate hit a seven-year high of 6.2 per cent.
Prime Minister Justin Trudeau called the news a “devastating” blow for the country.
“It is devastating to Canadians and all Canadians.
It is devastating for the economy, it is devastating on all levels,” Trudeau said Friday.
“What this means is that the jobs are not coming back.
They’re not coming to Canada, and the skills are not being learned.
And we are heading towards a depression.
And it’s going to take some time to recover.”
The economy has shrunk from a robust 6.6 per cent in the second quarter of 2016 to a measly 4.6 percent in the first quarter of 2017.
In the first three months of 2017, the unemployment rate in the country was 10.1 per cent compared to a peak of 14.1 in April.
“Our economy is in a recession,” said NDP Leader Jagmeet Singh in a news release.
“Today’s news is a terrible setback for the government’s promise to create 2.5 million new jobs.
It’s a setback for Prime Minister Trudeau’s promise that the economy would get back on track, and a setback from the Liberals’ own economic policies.”
The news comes just one day before Trudeau is set to host a series of economic-development events in Toronto and Vancouver, as part of a new government agenda that aims to boost economic growth, job creation and innovation.
Trudeau announced the measures during his news conference in Ottawa Friday afternoon, saying the measures would help the economy “turn around.”
“We are facing a new reality,” Trudeau told reporters.
“A recession is not a good thing.
A depression is not good.
But it is a good step towards the recovery we all want.” “
We have to work through the pain and the pain will come to an end.
But it is a good step towards the recovery we all want.”
Trudeau said the measures announced by the government on Friday will create more than 10,000 new jobs in sectors such as manufacturing, tourism, and education.
The measures will also create more private sector jobs, as well as bring jobs back to the private sector.
The plan comes after the Trudeau government announced plans to spend $3.5 billion to boost job creation in 2017 and 2018.
It was a $5.4-billion investment in the next three years, according to the government.
Trudeau also announced the creation of a $1-billion fund for infrastructure.
The government will invest $1.4 billion on public transit, as will invest more than $1 billion on green-building projects.
“The prime minister and I have been working for a long time to get the economy moving forward,” Singh said in a statement.
“I am confident that this plan will provide the necessary investment to create thousands of good, decent-paying jobs and a prosperous economy for all Canadians.”
Trudeau has said the government will not make any public announcements about the measures until it has seen the data from the Canadian Economic Institute, which he says will show “what Canada has accomplished.”