Canadian inflation rate in 1989: 5.26%

Canada Inflation Calculator


Canadian Inflation Rate, 1989-2018 (CA$1)

The consumer price index (CPI) in 1989 was 76.1. Statistics Canada uses this CPI value to track inflation on a monthly basis.

According to Statistics Canada consumer price index, the dollar experienced an average inflation rate of 1.89% per year. Prices in 2018 are 72.0% higher than prices in 1989.

In other words, CA$1 in the year 1989 is equivalent in purchasing power to CA$1.72 in 2018, a difference of CA$0.72 over 29 years.

The current inflation rate in 2018 is 0.38%1. If this number holds, CA$1 today will be equivalent to CA$1.00 next year.

Inflation from 1989 to 2018
Cumulative price change 72.01%
Average inflation rate 1.89%
Price difference (CA$1 base) CA$0.72
CPI in 1989 76.1
CPI in 2018 130.9

CAD inflation chart from 1914 to 2017

How to calculate the inflation rate for CA$1 since 1989

Start with the inflation rate formula:

CPI in 2018 / CPI in 1989 * 1989 CAD value = 2018 CAD value

Then plug in historical CPI values. The Canadian CPI was 76.1 in the year 1989 and 130.9 in 2018:

130.9 / 76.1 * CA$1 = CA$1.72

CA$1 in 1989 has the same "purchasing power" as CA$1.72 in 2018.

News headlines from 1989

Politics and news often influence economic performance. Here's what was happening at the time:

  • Chinese troops kill an estimated 1,000 students protesting at Tiananmen Square.
  • The first (partially) free elections take place in Poland, bringing democracy to Eastern Europe for the first time in 40 years. (Won by the Solidarity Party)
  • The demolition of the Berlin Wall begins.
  • Presidents George H. W. Bush and Mikhail Gorbachev, declare that the Cold War has ended.

Inflation Data Source

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 1989 | Canada Inflation Calculator.” FinanceRef Inflation Calculator, Alioth Finance, 19 Apr. 2018,

» Read more about inflation.