Canada’s inflation rate rises to 3 per cent in July

Canada’s annual inflation rate rose to 3 per cent in July, up from 2.8 per cent in June, according to Statistics Canada.

The agency said the increase was driven largely by higher gasoline prices. Gasoline prices were 26 per cent higher in July than a year earlier, compared with a 21 per cent annual increase in June.

Excluding gasoline prices, consumer inflation was 2.2 per cent in July, Statistics Canada reported. Grocery price growth also slowed, with food purchased from grocery stores rising 3.1 per cent year over year, down from 3.9 per cent in June.

Despite the slowdown, Statistics Canada said grocery prices have increased faster than the overall Consumer Price Index for 18 consecutive months.