The situation in Ukraine is putting more pressure on already hot inflation, the bank said, adding it now expects price increases to be higher in the near term than in its January forecast. Inflation surged to a 30-year high at 5.1% in January, its 10th consecutive month above the Bank of Canada's 1%-to-3% control range. The central bank raised rates by 25 basis points to 0.50%, as expected, and also said it would continue with the reinvestment phase of its bond buying program.