Canada’s inflation rate drops to 1.7 per cent, says StatCan

Statistics Canada’s latest report shows inflation was 1.7 per cent in April, down from 2.3 per cent in March.

The decrease comes after the consumer carbon tax was scrapped at the start of April, which drove inflation down sharply.

Due to the end of the consumer carbon tax, Canadians saw a reduction in gas prices of 18.1 per cent year-over-year.

Economists say the relief was not felt in grocery stores as food prices continued to rise.

StatCan says produce, beef, coffee and tea were a few of the key items hurting Canadian wallets the most over the past year.

The April inflation announcement comes weeks before the Bank of Canada is set to make its next interest rate announcement on June 4.

With files from The Canadian Press.

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