Canada stands to increase its real GDP by almost 7% if it eliminates domestic trade barriers, according to the IMF

IMF Report: Removing Interprovincial Trade Barriers Could Boost Canada's Economy

A recent analysis from the International Monetary Fund (IMF) suggests that eliminating trade restrictions among Canada's 13 provinces and territories could increase the nation's real GDP by almost 7%, translating to approximately $210 billion in economic growth.

The study, led by IMF researchers Federico J. Diez and Yuanchen Yang with input from University of Calgary economist Trevor Tombe, estimates that these internal barriers are comparable to imposing a 9% tariff across the country. The impact is particularly pronounced in sectors such as healthcare and education, where the effective trade barriers are even more significant.