PARIS / RankWire.AI / – In the second quarter of 2026, the OECD region experienced a modest uptick in economic activity, with most member nations reporting growth. The gross domestic product increased by 0.5% compared to the previous quarter, slightly higher than the 0.4% growth recorded in Q1. According to the Organisation for Economic Co-operation and Development, 27 of the 30 countries with available data saw expansion, while three economies recorded no change quarter-over-quarter.
Ireland led the group with a significant 3.9% GDP increase, followed by Israel at 3.6%, both well above the OECD average. Conversely, Austria, Belgium, and Chile reported stagnation during this period. On an annual basis, OECD GDP rose by 2.3%, up from 1.7% in the first quarter.
In contrast, the G7 economies collectively grew by only 0.3% in the second quarter, a slight slowdown from 0.4% previously. Germany and Italy both expanded by 0.2%, Japan by 0.3%, while the United Kingdom and United States each achieved 0.4%. Canada’s growth was stronger at 0.8%, and France rebounded with a 0.2% increase after contracting 0.1% in Q1.
Mixed Results for G7 Countries in Q2
Several leading economies experienced slower growth due to shifts in domestic demand and trade. Japan’s private consumption remained flat, with declines in inventories and investment. The UK faced a slowdown driven by weaker private and government consumption. Similarly, the US saw reduced export growth, inventory reductions, and lower government spending. These factors contributed to the G7’s overall subdued quarterly expansion.
Canada stood out with the largest quarterly increase among G7 nations, rising from zero growth in Q1 to 0.8%. France also improved, recovering from a 0.1% contraction in the first quarter to expand by 0.2%. This contrasted with Ireland and Israel’s rapid growth, while Austria, Belgium, and Chile showed no change from the previous three months.
OECD Annual Growth Accelerates to 2.3%
Looking at the full year, member countries demonstrated a quicker pace of expansion, with OECD GDP 2.3% above its level in the second quarter of 2025. This surpasses the 1.7% annual growth seen in Q1. The United States led with a 2.1% year-on-year increase, while Japan’s growth was the slowest at 0.5%.
The OECD characterized the second-quarter figures as provisional, based on available GDP data from member states. The August 24 report included 30 economies and offered both quarterly and annual comparisons. The next quarterly GDP update is scheduled for November 19, 2026. Despite softer growth among the G7, the overall OECD area showed slightly stronger progress.