Despite the rise in the GDP of the Organization for Economic Co-operation and Development (OECD) economies to 1.6 percent in Q2 2021, from 0.6 percent in the previous quarter, it still remains below pre-pandemic levels.
For the Major Seven economies as a whole, GDP growth increased to 1.6 percent (from 0.4 percent) in the second quarter of 2021, but with strong variations across countries, according to estimates from the Paris-based organization.
The UK recorded the strongest growth (4.8 percent) followed by Italy (2.7 percent).
GDP also increased in the other Major Seven Economies, but to a lesser extent. In both the US and Germany, GDP grew by 1.6 percent, compared with 1.5 percent and minus 2.0 percent respectively in the previous quarter.
Canada recorded a growth rate of 0.6 percent, but as this was down from 1.4 percent 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 percent and 1.9 percent respectively.
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 percent).
According to OECD estimates, among the Major Seven economies, the UK experienced the largest gap (minus 4.4 percent), followed by Italy (minus 3.8 percent), France and Germany (both at minus 3.3 percent). The US 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 percent.