Statistics Canada Reports Drop in Inflation

Tuesday, 18 July 2023 10:32

By Linda Morgan

Inflation fell to 2.8 percent last month, but grocery prices remain high

The country's inflation rate fell last month.

Statistics Canada says it dropped from 3.4 percent in May to 2.8 percent in June.

The agency adds lower gas prices were a big factor in the slowdown.

However, Canadians still aren't seeing a lot of relief at grocery stores.

Grocery prices rose 9.1 percent on a year over year basis.

The Bank of Canada's rate hikes are also factoring into higher inflation through mortgage interest costs.

According to Statistics Canada, inflation would have risen two percent year over year without mortgage interest costs.

Earlier this month, the central bank increased interest rates in order to reduce inflation.

More from Local News

Flashing Red Lights Going at Corner

City of Welland installing beacons on stop signs, too many complaints about drivers
NRP Looking for Missing Man

They say 72-year old last seen at Welland hospital
Pair Arrested for Cannabis Store Robberies

Man and woman arrested in Niagara Falls, but not before a long stand off with police
Pair Arrested for Illegal Handgun

Police say they tried to get into a St. Catharines bar
Lighthouse Festival Preparing for 2027

Opening line up for live theatre in Port Dover and Port Colborne
Province Invests More in Niagara Health

Over $20-million to be spent on reducing wait times for many procedures, at Niagara Health and Hotel Dieu
Flooding Relief on List for AMO

Mayor Mat Siscoe and officials will ask for more help at Association of Municipalities of Ontario conference, but also housing and addictions
Over $40,000 Raised for Day of Giving

Turkstra and Credit Union big contributors, but also individuals raised over $14,000 to help people who have nothing after floods