National net worth reached $5.5 trillion by the end of the fourth quarter of 2007, or $165,400 per capita, Statistics Canada reported today.

National net worth grew by $77 billion in the quarter, an increase of 1.4% over the previous quarter, a somewhat faster pace than the 1% in the previous quarter.

National wealth (economy-wide non-financial assets) rose 1.3%, a third consecutive quarter of deceleration set against the backdrop of a slowing economy in the fourth quarter, StatsCan said.

Although housing investment cooled during the quarter, residential real estate remained the major contributor to the increase in national wealth, accounting for more than half of the gain, the government agency said.

Sustained saving led by both corporations and government, alongside price gains for non-financial assets, largely accounted for the pick-up in the growth of national net worth. The gain in national net worth was also supported by a slight decrease in Canada’s net foreign indebtedness.

Household net worth edged up 0.1% during the fourth quarter, as the decline in financial assets, coupled with the increase in liabilities, largely offset the impact of growth in non-financial assets.