Newsdesk – The Canada inflation rate has rose to a great high this year which is considered the highest in about last 40 years.
With the fast pace Inflation , the prices of other commodities also shoot up. Statistical evaluation of Inflation reports suggest that the rise in prices of gasoline is the main cause of rapid rise in Inflation rate hitting 7.7 percent whereas it was registered 6.8 percent in last year in April and the analysts forecast was 7.4 percent. The price of gasoline rose upto 12 percent in the month of May alone and it is estimated to be 48 percent on higher side as compared to last year.
The Bank of Canada increased rate of Interest from 1.0 percent to 1.5 percent this month and indicated for further increase if needed to control inflation. There is pressure up on central bank to follow US Federal Reserve with surprised rate hike.
In a reaction to the rising figures due to inflation, the Bank of Canada’s senior deputy governor said “We know inflation is keeping Canadians up at night. Its keeping us up at night.”
Economists are of the view the supersized May print make a supersized move is likely. It is noted that rise in inflation has made costs of gas , food and travel expensive for average Canadian’s life.
