Inflation rate in British Columbia rises in July and exceeds national average

The weather wasn't the only thing that heated up on the West Coast last month.

British Columbia's inflation rate bucked the national trend, rising from 2.6 percent to 2.8 percent between June and July, according to a Statistics Canada release released Tuesday.

In Canada, however, the inflation rate cooled from 2.7 percent to 2.5 percent over the same period.

RBC economist Claire Fan said in a commentary that the national numbers “should be enough to allay concerns about continued inflationary pressures in Canada.”

It predicts that the Bank of Canada will cut its overnight interest rate by another 25 basis points at its next decision in September.

This view was shared by economist Benjamin Reitzes, BMO managing director for Canadian interest rates.

“There is currently no urgency for policymakers to act more aggressively, but there will continue to be rate cuts as inflation continues to move toward the 2 percent mark,” he said in a statement.

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