Statistics Canada reported that the value of building permits issued by the Canadian municipalities rose 6% percent m-o-m in December, following a revised 2.1 percent m-o-m gain in November (originally a 2.6 percent m-o-m increase). 

Economists had forecast a 1.0 percent decline in December from the previous month.

According to the report, the value of residential permits grew by 4.2 percent m-o-m as building permits for multi-family dwellings surged 11.1 percent m-o-m, more than paring a 5.4 percent m-o-m drop in the single-family dwelling component.

Meanwhile, non-residential building permits climbed by 8.9 percent m-o-m in December, boosted by gains in industrial (+11.9 percent m-o-m) and commercial (+14.6 percent m-o-m) components. In contrast, the value of institutional permits fell 10.6 percent m-o-m, recording the third consecutive monthly decrease.

In y-o-y terms, building permits increased by 10.6 percent in December.

For the full 2018, building permits rose 4.7 percent, recording the fifth consecutive annual increase. Higher construction intentions for multi-family dwellings and commercial buildings were the main factors behind the advance.