About 75 per cent of businesses said they’ve been affected by rising costs, according to a report from the Business Development Bank of Canada (BDC), which surveyed 1,278 businesses in June. Persistently high labour and energy costs will likely continue to weigh on businesses, the report found. (The Logic)

Talking point: The federal Crown corporation warned against investing hastily in AI and automation tools to help curb costs, urging businesses to first deal with “inefficiencies” to “maximize the impact of these investments.” The report also flagged opportunities for businesses to appeal to gen-Z consumers. The group, born between 1997 and 2012, is far more likely to pay more for environmentally friendly goods (71 per cent) compared to other generations (54 per cent). Ongoing labour shortages and the rapid pace of technological change are other factors Canadian businesses are grappling with, according to BDC.