At the same time, the weaker Canadian dollar, which is largely associated with the lower prices of oil and other Canadian commodity exports, has been pushing measured inflation upward. A number of other one-off factors have also been affecting inflation.
Thus, recovery in personal consumption is expected to continue after the reaction to the rise in demand ahead of the consumption tax hike subsides in the near future. However, the pace of recovery is likely to be moderate considering the increases in the tax burden, such as the rise in the consumption tax.