Canadian inflation rate in 2023: 3.88%

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Inflation in 2023 and its effect on dollar value

$1 in 2022 is equivalent in purchasing power to about $1.04 in 2023. The dollar had an average inflation rate of 3.88% per year between 2022 and 2023, producing a cumulative price increase of 3.88%. Purchasing power decreased by 3.88% in 2023 compared to 2022. On average, you would have to spend 3.88% more money in 2023 than in 2022 for the same item.

This means that prices in 2023 are 1.04 times as high as average prices since 2022, according to Statistics Canada consumer price index.

The inflation rate in 2022 was 6.80%. The inflation rate in 2023 was 3.88%. The 2023 inflation rate is higher compared to the average inflation rate of 1.48% per year between 2023 and 2025.

Inflation rate is calculated by change in the consumer price index (CPI). The CPI in 2023 was 157.11. It was 151.24 in the previous year, 2022. The difference in CPI between the years is used by Statistics Canada to officially determine inflation.

⌃
Inflation from 2022 to 2023
Average inflation rate3.88%
Converted amount
$1 base		$1.04
Price difference
$1 base		$0.04
CPI in 2022151.242
CPI in 2023157.110
Inflation in 20226.80%
Inflation in 20233.88%
$1 in 2022$1.04 in 2023
Recent CAD inflation
Annual Rate, Statistics Canada CPI
Download

How to calculate inflation rate for $1, 2022 to 2023

Our calculations use the following inflation rate formula to calculate the change in value between 2022 and 2023:

CPI in 2023 CPI in 2022
×
2022 CAD value
=
2023 CAD value

Then plug in historical CPI values. The Canadian CPI was 151.24166666666667 in the year 2022 and 157.11 in 2023:

157.11151.24166666666667
×
$1
=
$1.04

$1 in 2022 has the same "purchasing power" or "buying power" as $1.04 in 2023.

To get the total inflation rate for the 1 years between 2022 and 2023, we use the following formula:

CPI in 2023 - CPI in 2022CPI in 2022
×
100
=
Cumulative inflation rate (1 years)

Plugging in the values to this equation, we get:

157.11 - 151.24166666666667151.24166666666667
×
100
=
4%

Data source & citation

Raw data for these calculations comes from the government of Canada's annual Consumer Price Index (CPI), established in 1914 and computed by Statistics Canada (StatCan).

You may use the following MLA citation for this page: “Inflation Rate in 2023 | Canada Inflation Calculator.” Official Inflation Data, Alioth Finance, 17 May. 2025, https://www.officialdata.org/CAD-inflation-rate-in-2023.

Special thanks to QuickChart for their chart image API, which is used for chart downloads.

Ian Webster

About the author

Ian Webster is an engineer and data expert based in San Mateo, California. He has worked for Google, NASA, and consulted for governments around the world on data pipelines and data analysis. Disappointed by the lack of clear resources on the impacts of inflation on economic indicators, Ian believes this website serves as a valuable public tool. Ian earned his degree in Computer Science from Dartmouth College.

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» Read more about inflation and investment.

Inflation from 2022 to 2023
Average inflation rate3.88%
Converted amount
$1 base		$1.04
Price difference
$1 base		$0.04
CPI in 2022151.242
CPI in 2023157.110
Inflation in 20226.80%
Inflation in 20233.88%
$1 in 2022$1.04 in 2023