What is the average inflation rate in 2022?

The average inflation rate in 2020 was 0.7 per cent, it was 3.4 per cent in 2021 and it's forecasted to be around 5.3 per cent for all of 2022. “It means that we’ll have two years of inflation that will be significantly higher than the two per cent long term target of the Bank of Canada,” explains Brassard.

What's happening to Canada's cost of living in 2022?

It's the first acceleration in the cost of living since June of 2022, when Canada's inflation rate hit a more than 40-year high of 8.1 per cent. Food prices have been a major source of consternation for Canadian families of late, and while overall costs have come down from their recent record highs, they are still staying at eye-watering levels.

Why did inflation rise faster in 2021 than in Canada?

Source: Statistics Canada, table 18-10-0004-01 . In 2021, inflation in the United States rose at a faster pace than in Canada in part because of much larger increases in used vehicle prices south of the border, which account for a larger share of consumer outlays in the United States.

What is Canada's inflation rate?

New numbers from Statistics Canada show the country's inflation rate rose to 8.1 per cent last month, the fastest annual increase since 1983. "It's like a slow climb on a roller-coaster ride," she said in an interview. "You're not sure when you are going to reach the top."