Canada's Consumer Price Index rose 2.4 per cent in March compared with a year ago, as consumers paid more for gas due to the war in Iran.
Statistics Canada says that, excluding gas, inflation rose 2.2 per cent after February's 2.4 per cent increase.
Year-over-year, energy prices jumped 3.9 per cent after falling 9.3 per cent in February.
Consumers paid 5.9 per cent more to fill up the tank than they did in March 2025. On a monthly basis, gas prices surged 21.2 per cent, the largest increase for gasoline on record. Stats Canada blamed the conflict in the Middle East.
The removal of the Consumer Carbon Price on gas in March 2025 muted the impact, along with the price of natural gas, which dropped 18.1 per cent. Unlike gasoline, natural gas is sourced in North America and is unaffected by the war in Iran.
Canadians paid another 4.4 per cent more on groceries last month, on top of the 4.1 per cent increase in February. Year-over-year, the cost of fresh vegetables rose 7.8 per cent, the largest jump since August 2023, when the cost of fresh vegetables climbed 8.7 per cent. Cucumbers, peppers, and celery cost more because of adverse growing conditions in producing countries.
Buying a meal at a restaurant cost another 3.2 per cent, alcoholic drinks bought at a store or restaurant went up 2 per cent, and the cost of toys, games excluding video games, and hobby supplies climbed 1.5 per cent.
The inflation rate for April will be released on May 19.
