After a period of aggressive rate cuts in 2024 and 2025, the Bank of Canada has entered 2026 with a different approach: wait, watch, and hold steady. The central bank has kept its benchmark interest rate at 2.25%, and most economists now expect that stance to continue for much of the year. But behind that steady decision lies a
November has been an eventful month for Canada’s economy, with a new federal budget from Prime Minister Mark Carney and another interest rate cut by the Bank of Canada. Both moves are aimed at stimulating growth, but they’ve also raised questions about whether the country is striking the right balance between spending and stability. Carney’s first budget includes
The Bank of Canada (BoC) delivered another quarter-point rate cut this week, lowering its key interest rate to 2.25%. But while the move offers some relief for borrowers, the central bank signaled that this could be the last cut for a while. A Balancing Act Between Growth and Inflation The BoC’s decision comes as Canada’s economy continues to struggle with weak
The Bank of Canada has lowered its key interest rate by 25 basis points to 2.5 per cent, a move that comes as trade tensions and global uncertainty continue to weigh on Canada’s economy. The rate cut was widely expected after new inflation data showed consumer prices rising 1.9 per cent in August compared to
As 2025 begins, many Canadians are wondering whether interest rates will continue to fall. The Bank of Canada (BoC) has already reduced its benchmark interest rate several times in recent months, bringing it to 4.25% as of late 2024. These decisions were made to stimulate the economy amid signs of slowing growth. But will the
The Bank of Canada’s decision on Wednesday to cut the interest rate by 50 basis points, bringing it down to 3.75%, marks a rate reduction twice as large as the previous cuts. The Bank of Canada has lowered its key interest rate to 3.75%, marking the first 50-basis-point cut since the onset of the COVID-19
The Bank of Canada has implemented its third consecutive rate cut, reducing its key interest rate to 4.25% on Wednesday, citing the ongoing easing of inflation. While the move was largely expected by economists, the gradual pace of these cuts has raised questions about when the central bank might take more significant action. “If we
Canada’s annual inflation rate dropped to a 40-month low of 2.5% in July, aligning with forecasts, while core inflation measures also eased, according to data released on Tuesday. This development supports expectations that the Bank of Canada may cut interest rates again in September. Analysts surveyed by Reuters had predicted a decrease in inflation to
The July meeting minutes reveal that a “vast majority” of policymakers considered it “appropriate” to lower borrowing costs. Last month, Federal Reserve officials indicated their readiness to begin cutting interest rates at their September meeting due to slowing job growth and easing inflation. Minutes from their July meeting, released on Wednesday, showed that the “vast