Canada's Trudeau Announces C$4.5 Billion Inflation Relief Package for Low Earners

Canadian Prime Minister Justin Trudeau announced C$4.5 billion ($3.43 billion) in measures on Tuesday intended to provide relief from high inflation to low-income families, Reuters reported. The measures include doubling a quarterly tax credit sent to individuals and families with low and modest incomes to offset sales tax, and a C$500, onetime top-up to a housing benefit that is provided to low earners who need help with rent, Trudeau said. Trudeau's Liberal government will also provide up to C$650 per year for dental care to children under 12 who do not have access to dental insurance. "These are things that will make a difference in people's lives right now but they are also sufficiently targeted, that we are confident that they will not contribute to increased inflation," Trudeau told reporters in St. Andrews, New Brunswick. While inflation cooled a bit in July from an almost four-decade high of 8.1%, the Bank of Canada is still concerned about rising prices and is promising further interest rate hikes after increasing them to their highest level in 14 years last week. The support package includes money previously allocated in the budget and C$3.1 billion in additional funding. Read more.