10/31/2013 08:50 EDT | Updated 01/23/2014 06:58 EST

Canadian economy grows more than expected on energy gains

The Canadian economy grew by 0.3 per cent in August, according to Statistics Canada, a larger jump than expected.

The gain was led by oil and gas extraction, which grew by 2.8 per cent, and follows a 0.6 per cent expansion in July.

The economy has grown in seven of the last eight months.

Economists were expecting economic growth of 0.1 per cent in August, according to a survey by Bloomberg.

In its monetary policy report released earlier this month, the Bank of Canada said it expects the Canadian economy to expand by just 1.6 per cent this year, a drop from an earlier forecast of 1.8 per cent.