Quebec slows down its inflation from 2.2% to 1.7% in a month and now occupies a place in the Canadian average thanks to better control of its prices than the western provinces.
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This deceleration of 0.5 percentage points places Quebec in an enviable position after being the only province in inflationary acceleration in April, according to data from Statistics Canada published on Tuesday.
“At 1.7%, we are at the same level as the Canadian average and inside the target of the Bank of Canada,” observe economists Jimmy Jean and Randall Bartlett of the Desjardins movement.
Quebec factors
Unlike the rest of Canada, Quebec has not benefited from the elimination of the carbon tax to curb its inflation. “This suggests that the underlying inflationary pressures are lower here than throughout the country,” said Desjardins experts.
Quebec energy still has a drop of 6.3% over a year, which supports general deceleration. The rents, although elevated, also slow down: from 7.2% to 6.7%, which remains “significantly higher than the national average”.
Quebec food performed better than elsewhere. At 2.9%, Desjardins economists describe the performance “below the national average”, despite the reprisal rates.
West
Quebec is now equal to Alberta (1.7%) and is ahead of Manitoba (1.9%) and British Columbia (2.3%). With its weight of 21% in the Canadian economy, Quebec stabilizes national inflation.
“All the ingredients are united for well -controlled inflation in Quebec in the coming months,” predict economists, citing the limited impacts of American prices on the Quebec economy and demographic slowdown.
