Inflation Canada 2016

Average inflation: 1.4%

Current Inflation

Inflation is low at 1.4%, below the ECB target of 2%.

Peak and Trough

The highest inflation was in January at 2.0%. The lowest inflation was in August at 1.1%.

Highest month
January: 2.0%
Lowest month
August: 1.1%
Difference
0.9 percentage points
Months with data
12 of 12

Category Insights

The highest price increase was in Alcoholic beverages, tobacco and narcotics with an average of 3.4%. The lowest price increase was in Clothing and footwear with an average of -0.4%.

Highest increase
Alcoholic beverages, tobacco and narcotics: 3.4%
Lowest increase
Clothing and footwear: -0.4%

Historical Context

Current inflation is around the 5-year average of 1.4%.

5-year average
1.4%
10-year average
1.6%
All-time high (2011)
2.9%
All-time low (2009)
0.3%

Trend

Inflation has remained relatively stable. Compared to 2015, the difference is minimal (+0.3 percentage point).

Change vs. previous year
+0.3 percentage points
Largest monthly swing
January: +1.0 percentage points

ECB Target

Inflation is 0.6% below the ECB target of 2.0%. Too low inflation may indicate economic weakness.

Purchasing Power

At this inflation rate, purchasing power gradually decreases. The impact on daily expenses is relatively limited.

What you could buy for €100 this year will cost approximately €101.40 next year at this inflation rate.

Multi-year trend

Monthly figures 2016

Inflation by category

Food and non-alcoholic beverages
1.0%
-0.4vs avg.
More details →
Alcoholic beverages, tobacco and narcotics
3.4%
+2.0vs avg.
More details →
Clothing and footwear
-0.4%
-1.8vs avg.
More details →
Housing, water, electricity, gas and other fuels
1.4%
+0.0vs avg.
More details →
Furnishings, household equipment and maintenance
2.3%
+0.9vs avg.
More details →
Health
1.3%
-0.1vs avg.
More details →
Transport
1.3%
-0.1vs avg.
More details →
Communication
-0.0%
-1.4vs avg.
More details →
Recreation and culture
1.6%
+0.2vs avg.
More details →
Education
2.9%
+1.5vs avg.
More details →
Restaurants and hotels
2.5%
+1.1vs avg.
More details →
Miscellaneous goods and services
1.7%
+0.3vs avg.
More details →

Inflation differs per product group. Click on a category for the historical trend.

Month overview

Month Inflation Difference vs. 2015
January 2.0% +1.0
February 1.4% +0.4
March 1.3% +0.1
April 1.7% +0.9
May 1.5% +0.6
June 1.5% +0.5
July 1.3% 0.0
August 1.1% -0.2
September 1.3% +0.3
October 1.5% +0.5
November 1.2% -0.2
December 1.5% -0.1
Average 1.4%

Data source

Data from OECD. Last updated: 13/01/2026.

See also