PARIS / RankWire.AI / – In the second quarter of 2026, the OECD region experienced a modest improvement in economic activity as most member countries reported expansion. The gross domestic product increased by 0.5% compared to the previous quarter, slightly higher than the 0.4% growth seen in the first three months. The Organisation for Economic Co-operation and Development noted that 27 out of 30 countries with available data showed growth, with three nations recording no change in quarterly output.
Ireland posted the most significant quarterly rise among the countries included in the latest data, with GDP climbing 3.9%. Israel followed with a growth rate of 3.6%, both well above the overall OECD average. Conversely, Austria, Belgium, and Chile reported no change in their economic output during the second quarter. When considering the full OECD area, GDP increased 2.3% year-on-year, which marked an acceleration from the 1.7% annual growth observed in the first quarter.
In contrast, the Group of Seven major economies experienced a slight slowdown. G7 GDP grew by 0.3% in the quarter, down from 0.4% in the previous period. Germany and Italy each grew by 0.2%, while Japan saw a 0.3% increase. The United Kingdom and United States both achieved 0.4% growth, whereas Canada’s expansion was stronger at 0.8%. France returned to growth, posting a 0.2% increase after a contraction in the prior quarter.
Mixed second-quarter outcomes for G7 economies
A number of leading economies experienced slower growth, influenced by shifts in domestic demand and trade components during the period. Japan’s private consumption remained flat, with declines seen in inventories and investments. In the United Kingdom, weaker private consumption coupled with reduced government spending dampened growth. Similarly, the United States faced slower export figures, inventory reductions, and decreased government expenditure, leading to a slowdown in the overall G7 growth rate.
Canada achieved the largest quarterly increase within the G7, rising from zero growth in the first quarter to 0.8%. France also showed improvement after contracting by 0.1% earlier, with its economy expanding 0.2% in the second quarter. This contrasts sharply with the much faster growth rates recorded in Ireland and Israel, while Austria, Belgium, and Chile experienced no change from the previous three months.
OECD annual growth reaches 2.3%
The annual data indicate a quicker pace of economic expansion across the broader group of member nations. OECD GDP was 2.3% higher than its level in the second quarter of 2025, compared to a 1.7% increase in the first quarter of this year. Among the G7 countries, the United States led with a 2.1% year-on-year growth, while Japan had the smallest increase at 0.5%.
The OECD described these second-quarter figures as provisional, with its consolidated estimate based on countries that provided available GDP data. The August 24 release covered 30 member economies and included both quarterly and yearly comparisons. The organization plans to publish its next quarterly GDP update on November 19, 2026. Despite the somewhat softer combined performance of G7 economies, overall growth across the OECD region remains slightly stronger based on the latest data.