Let me just begin by saying that it is a pleasure to be here. Yes, we're busy. We're all busy, but this is very important, and we're very pleased to be here.
As you've highlighted, the same factors that have driven inflation up in Canada have driven it up globally. The supply constraints are a global phenomenon. Households shifting out of services into goods, because they can't consume a lot of the services they would normally consume during a pandemic, is a global phenomenon. Higher energy prices and higher food prices.... These goods are all priced in international markets, so you are seeing very similar inflation dynamics in most countries around the world.
In Canada's experience and in some advanced countries like the U.S., inflation is a bit higher than it is in the U.S. In some other countries, it's a little lower, like in France. Canada's experience is not dissimilar to those of many other countries, but for Canadians, knowing that people in other countries are facing this inflation is a bit of cold comfort. Canadians are still paying higher prices for groceries, higher prices for gasoline and higher prices for many goods. That's hitting them in the pocketbook. It is critically important that we bring this inflation back down. We also know that it hits the most vulnerable Canadians the most, those least able to afford it.
That's why we need to raise interest rates. We need to raise interest rates to keep demand and supply in balance, as I discussed. We also need to raise interest rates to keep inflation expectations well anchored. When these global supply disruptions, these shipping bottlenecks, ease back, inflation will come back down if we keep inflation expectations well anchored. If we don't, if they become unmoored, it will be much more difficult to get inflation back down.