US EditionCanada's annual inflation rate fell to 1.8% in February, war's impact not yet reflected
February inflation eased to 1.8% year-over-year, mainly due to last year’s federal sales tax holiday ending, while core inflation measures remained near 2.3%, Statistics Canada said.
- Statistics Canada released February figures showing annual inflation eased to 1.8 per cent year-over-year, half a percentage point lower than January ahead of the Bank of Canada rate decision Wednesday.
- The end of last year's federal sales tax holiday pulled headline inflation lower as the relief dropped out of mid-February 2025 comparisons, benefiting restaurant meals and toys, games and hobby supplies.
- Core measures showed further easing, with food bought from stores cooling to 4.1 per cent and fresh and frozen beef's annual increase at 13.9 per cent last month.
- Markets priced nearly 93 per cent odds of a Bank of Canada rate hold this week after the weak jobs report from StatCan on Friday showing a loss of 84 jobs, economists said.
- Given the geopolitical shock, economists say gasoline started creeping higher at the end of February amid Middle East disruptions, which will likely push inflation up from March, Kavcic said.
60 Articles
60 Articles
Inflation Fell to 1.8 Percent In February, Driven by 2025 GST Holiday: StatCan
Canada’s annual inflation rate fell to 1.8 percent in February from 2.3 percent in January, according to a new Statistics Canada report. The slowdown was “largely driven” by a monthly rise in prices in February of last year at the end of a two-month GST holiday introduced by the Liberal government of then-Prime Minister Justin Trudeau, according to StatCan’s March 16 report. Starting Dec. 14, 2024, Trudeau introduced a policy removing the GST on…
Toronto, Canada, 16 Mar (EFE).- Inflation in Canada slowed sharply in February and was 1.8% year-on-year, compared to 2.3% in January, driven mainly by the fall in energy prices, reported on Monday by the public agency Statistics Canada (EC). The decline in inflation was largely due to the sharp reduction in the price of gasoline, which fell by 14.2% compared to February 2025, and natural gas, which fell by 17.1%.
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