Canada’s annual inflation rate rises to 8.1% in June

Inflation in Canada in June rose 8.1% compared to a year ago, the largest annual change since January 1983.

Inflation in May was 7.7%.

According to Statistics Canada, the June price acceleration was primarily the result of a more rapid rise in gas prices.

Gas prices have risen by more than 50 percent compared to a year ago.

The June price acceleration is in line with what economists expected as energy and food prices continued to rise and the economy resumed further.

Bank of Canada has chosen to raise key interest rates to 2.5% because of concerns about rising consumer and corporate inflation expectations in recent interest rate decisions.

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