Canadian Prime Minister Mark Carney has earned global admiration for openly declaring the end of a global order based on rules, but he has had far less success addressing a growing and more quotidian concern at home: the rising cost of food, reported Reuters.
Among Group of Seven countries, Canada recorded the highest rate of food inflation in December, according to government data. Food prices rose by 6.2% in December, double the rate in the US, and more than three times the rates in France and Germany.
Carney leads a minority government in Canada and relies on support from other parties to pass legislation and stay in power. While Canadians have consistently rated Carney as the best leader to deal with threats from US President Donald Trump, voter sentiment could change quickly if concerns about American aggression lessen - and cost-of-living issues become more urgent, as they have in Britain, the US and elsewhere.
A statement from the Bank of Canada this week noted that grocery prices jumped by 22% in the last three years, compared to 13% for other consumer prices. The central bank said last year's food inflation was mostly driven by imported foods, supply shortages caused by extreme weather and the significant depreciation of the Canadian dollar in 2024.
Carney announced last week that the country’s poorest 12 million people will get a tax credit for the next five years, “to make sure Canadians have the support they need now.” The government is also taking other measures, like setting aside C$500 million to help businesses deal with supply chain disruptions and allowing producers to write off greenhouse expenses.
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