Summary
Canadian Prime Minister Mark Carney announced a large financial plan to help lower the cost of food and essentials for low-income families. The plan includes increasing a tax credit and other financial measures over several years. This move aims to support millions of Canadians and stabilize the economy against challenges like price inflation and trade issues.
Key Facts
- Prime Minister Mark Carney announced a multibillion-dollar package to reduce food and essential costs.
- The plan includes a 25 percent increase in the GST credit, now called Canada Groceries and Essentials Benefit, starting this year.
- The package will support over 12 million Canadians and includes a one-time 50 percent top-up for eligible residents this year.
- In its first year, the plan will cost 3.1 billion Canadian dollars, with costs between 1.3 to 1.8 billion Canadian dollars in the following years.
- Overall consumer price inflation in Canada is at 2.4 percent, but food prices remain high.
- 500 million Canadian dollars will be used to help businesses handle supply chain issues without raising consumer prices.
- A 150 million Canadian dollar Food Security Fund will support small and medium businesses.
- The measures respond to global economic changes and pressures from trade relations with the United States.
