Canada Inflation Rate

Last Release

Feb 28, 2025

Actual

2.6

Units In

1.9

Frequency

Monthly

Next Release

Apr 15, 2025

Time to Release

26 Days 3 Hours

Highest	Lowest	Average	Date Range	Source
21.6 Jun 1920	-17.8 Jun 1921	3.14 %	1915-2025	Statistics Canada

In Canada, the most important categories in the CPI basket are Shelter (27.5 percent of the total weight) and Transportation (19.3 percent). Food accounts for 16.1 percent; Household Operations, Furnishings and Equipment for 11.8 percent; Recreation, Education and Reading for 11.8 percent; Clothing and Footwear for 5.7 percent; Health and Personal Care for 5 percent; Alcoholic Beverages and Tobacco Products for the remaining 3 percent. The CPI basket is reviewed every four years on the basis of household surveys. The current weights are based on spending patterns in 2009.

Latest Updates

The annual inflation rate in Canada jumped to 2.6% in February of 2025 from 1.9% in the previous month, the highest in eight months, sharply above market expectations of 2.2% and ahead of the Bank of Canada's forecast of 2.5%. The surge was mostly owed to the end of goods and services tax (GST) and harmonized tax (HST) breaks halfway through the period, triggering sharp increases in the price of eligible goods. Consequently, inflation slowed sharply for restaurants (-1.4% vs -5.1% in January) and alcoholic beverages from stores(-1.4% vs -3.6%), driving the food subindex to rebound sharply (1.3% vs -0.6%). Prices also rebounded for clothing and footwear (1.4% vs -1.3%) and accelerated for recreation, education, and reading (3.7% vs 1.9%). From the previous month, the end of tax credits drove the CPI to jump 1.1%, the most since May 2022.