Canadian Inflation Numbers At 31-Year High Beyond Economist Expectations

Canadian Prime Minister Justin Trudeau addresses a press conference at the Chancellery in
ODD ANDERSEN/POOL/AFP via Getty Images
Chris Tomlinson

The inflation rate in Canada in March was recorded at 6.7 per cent, the highest rate of inflation in 31-years, increasing by a full percentage point over February’s figure.

Inflation, or the costs of various goods in Canada, is rapidly increasing according to the new figures released this week by Statistics Canada, which stated that eight categories of goods, from food to energy, have all increased in March.

Since March of 2021, the price of gasoline has risen by 39.8 per cent, while transportation costs as a whole have risen by 11.2 per cent, according to a report from broadcaster CBC.

Some of the high gasoline costs have been blamed on the Russian invasion of Ukraine, which has also led to surging costs for gasoline in other countries such as Italy and Spain, where governments have enacted policies to reduce prices per litre at the pump.

Over the last month, some cities in Canada have seen gasoline prices rise to over $2 (£1.22/$1.60 USD) per litre ($7.57 CAD per gallon) for the first time ever.

“The spike in prices over the month of March is the largest monthly increase since January 1991, when the goods and services tax was introduced,” Dejardins Group economist Royce Mendes told CBC.

Zainab Williams, a financial planner from Caledon, Ontario, went as far as to recommend Canadians start prepping their meals to reduce food expenditures saying, “You need to have a strategy to see what you can create with what you have in your pantry before replenishing.”

Canada is not the only country to see multi-decade high rates of inflation in recent weeks. In Italy the inflation rate rose to 6.7 per cent in March, a level not seen since the end of the Gulf War in 1991.

Italy, which is dependent on Russia for around half of its natural gas needs, may be forced to ration gas in the coming months due to European Union sanctions against Russia and the effect of the ongoing Russian invasion of Ukraine itself.

Germany has also seen a surge in inflation, with the inflation rate rising 7.3 per cent, the highest since the country was unified after the fall of the Berlin Wall in 1990.

Follow Chris Tomlinson on Twitter at @TomlinsonCJ or email at ctomlinson(at)breitbart.com.

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