October 20, 2021
Inflation continues to take a bite out of Canadian wallets with it hitting an 18-year high in September.
The numbers released Wednesday shows the Canadian Price Index was up 4.4%, a figure not seen since February 2003. August saw an increase of 4.1%.
Statistics Canada said transportation, shelter and food costs contributed the most to the jump in the cost of living.
The price for all food has gone up 3.9% — with beef shooting up 13% and chicken up 10.3%, year over year.
Only the price of fresh vegetables are giving consumers some relief, they are down 3.2%.
As drivers across the country are finding out, gas is up 32.8% with the overall costs of transportation up 9.1%
StatsCan said the annual inflation rate would have been 3.5% had it excluded gasoline prices from its calculation.
“The global semiconductor chip shortage, leading to limited supply, contributed to higher prices in September,” Statistics Canada said.
The continuing rise in inflation is likely to complicate the Bank of Canada’s hopes to keep interest rates close to zero.
“The stats are showing what everyone is feeling: pain from sky-high cost of living,” said Franco Terrazzano, Federal Director with the Canadian Taxpayers Federation.
“It’s time for the feds to take the printing press out of overdrive, rein in the overspending and provide tax relief.”
The CTF estimates that the Bank of Canada has printed more than $380 billion during COVID-19.