Sky-high inflation and interest rate hikes are starting to take a major toll on Canadians.
“While keeping inflation at reasonable levels is definitely an important policy goal, the rate increase comes at a time when 62% of small businesses are still saddled with pandemic debt, for an average of $158,000,” said Simon Gaudreault, Chief Economist and Vice-President of Research at CFIB. “Doing business in Canada is becoming too costly. Rising costs, compounded with interest rate hikes and difficulties finding staff, are putting business owners in a tough spot.
Almost one-third of businesses plan to raise their prices by 6% or more in the next twelve months according to CFIB’s August Business Barometer® data, although this share seems to have peaked in recent months .