OTTAWA, March 28 (Reuters) - Canada's gross domestic product in January increased 0.6%, the fastest growth rate in a year and higher than forecasts, and the economy likely expanded 0.4% in February, data showed on Thursday.

Analysts polled by Reuters had forecast a GDP growth of 0.4% in the month. December GDP was revised to a 0.1% contraction from zero growth initially reported.

January's rise, the fastest since the 0.7% growth in January 2023, was helped by a rebound in educational services as public sector strikes ended in Quebec, Statistics Canada said.

Thursday's data shows the Canadian economy started 2024 strongly after growth stalled in the second half of last year; GDP was flat or negative on a monthly basis in four out of the last six months of 2023.

The strong rebound could allow the Bank of Canada more time to assess whether inflation is slowing sufficiently without risking a severe downturn, though the bank has said it does not want to stay on hold longer than needed.

The central bank has maintained its key policy rate at a 22-year high of 5% since July, but BoC governors in March agreed that conditions for rate cuts should materialize this year if the economy evolves in line with its projections.

The bank in January forecast a growth rate of 0.5% in the first quarter, and Thursday's data keeps the economy on a path of small growth in the first three months of 2024. The BoC will release new projections along with its rate announcement on April 10.

Growth in January was broad-based growth, with 18 of 20 sectors increasing in the month, Statscan said. The agency said noted that the real estate and rental and leasing grew for the third consecutive month, as activity at the offices of real estate agents and brokers drove the gain in January.

Overall, the services-producing industries grew 0.7%, while the goods-producing expanded 0.2%.

In a preliminary estimate for February, Statscan said GDP was likely up 0.4%, helped by mining, quarrying, and oil and gas extraction, manufacturing, and finance and insurance industries. (Reporting by Ismail Shakil in Ottawa; Editing by Dale Smith)