Stronger Canadian Dollar Edging Canada into 8th Place in World GDP

Canada’s nominal GDP is $1.80 trillion. Canada’s dollar converts to a US dollar at C$1.26 to $1 USD. The Canadian dollar was at C$1.45 to $1 USD in March 2020. The Canadian dollar was at C$1.31 to C$1.35 to $1 USD through much of 2019. The Canadian dollar has strengthened by 7-8% over where it was in 2019.

Italy’s economy shrank 2% in the fourth quarter of 2020. Italy’s GDP is expected to decrease by 8.9% in 2020.

The fluctuations in currencies and the shifting impacts from COVID are shaking up the rankings of national economies on a nominal basis. Below are outdated 2020 estimates of GDP from the IMF.


Above numbers are outdated IMF numbers. The table shown is IMF 2020 data which is not updated for the latest exchange rates. The IMF data is old. I updated the Canada portion to about US$1.81 trillion.

There are various reports that Italy has a nominal GDP of $1.8 trillion at the end of 2020. Brazil’s currency lost 35% of its value relative to the USD from 2019 to today.

Canada’s GDP in 2020Q3 was C$2.235 trillion. Canada had GDP growth in the fourth quarter of 2020 of 1.5%.

China reported 2020 GDP at 101.6 trillion yuan. The USD to Chinese Yuan exchange rate is 6.46. China’s GDP is US$15.73 Trillion. If Hong Kong and Macau GDP is added, then China’s GDP is US$16.03 trillion in February 2021. China is forecast to have 8% GDP growth in 2021. If the currency stayed stable then China+Hong Kond and Macua would have US$17.3 trillion GDP at the end of 2021.

Texas has a GDP of $1.9 trillion. If Texas or California were countries then they would rank ahead of Canada. California would be the 5th largest economy.

SOURCES- Statscan, Statistics Italy, Wikipedia, Google Finance, IMF
Written by Brian Wang, Nextbigfuture.com

14 thoughts on “Stronger Canadian Dollar Edging Canada into 8th Place in World GDP”

  1. It depends what you are trying to judge.

    If you want to judge the average person's lifestyle, then PPP is the way to go (and it's why it was developed).
    If you are trying to judge the nation's ability to say purchase an aircraft carrier, then exchange rates are what matters.

  2. What is the use of Nominal if you DO have high and constant exchange rates fluctuations?

    Are economies REALLY expanding and retracting just because the the government decided or not to buy or sell dollars to influence the rate?

  3. What is the use of Nominal if you DO have high and constant exchange rates fluctuations?

    Are economies REALLY expanding and retracting just because the the government decided or not to buy or sell dollars to influence the rate?

  4. The table shown is IMF 2020 data which is not updated for the latest exchange rates. The IMF data is old. I updated the Canada portion to about US$1.81 trillion.

  5. The table shown is IMF 2020 data which is not updated for the latest exchange rates. The IMF data is old. I updated the Canada portion to about US$1.81 trillion.

  6. If, as some people believe, we are at the beginning of a commodities super cycle, the Canadian dollar will go much higher.

  7. I am fairly confused how this forex conversion to USD to calculate 2020 GDP.
    For example, China's 2020 GDP is RMB 101.5T.
    RMB has been strengthened against USD since May 2020 (coincide with the China economic recovery and US money printing).
    Using 1: 6.53 on Dec 31.2020
    The China GDP is USD 15.54T vs 14.86T shown, the undercounting of USD 0.68T
    (the above table is using 1: 6.83).
    Care to explain the discrepancy ?

  8. PPP
    IMF (2020 estimates)
    1 China 24,162,435
    2 United States 20,807,269
    — European Union 19,397,267
    3 India 8,681,303
    — ASEAN 8,487,701
    4 Japan 5,236,138
    — EAEU 4,849,477
    5 Germany 4,454,498
    6 Russia 4,021,733
    7 Indonesia 3,328,288
    8 Brazil 3,078,901
    9 United Kingdom 2,978,564
    10 France 2,954,196

    15 Canada 1,808,995

  9. Nope. NZ$ is up too, as well as most currencies, because the US$ is actually weakening. So this is a non-story.

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